Autumn 2023 (annual)
PPF levy invoices (action required)
The PPF will begin issuing the 2023/24 levy year invoices. Invoices need to be paid within 28 days of receipt.
October 2023 (2023-specific)
Revised scheme funding regime (action required: get up to date with the new requirements, liaise with advisers, consider whether to respond to consultation and look out for final version of the regulations and code)
The Pension Schemes Act 2021 and draft funding and investment strategy regulations (see Gateley’s Insight) herald a new DB scheme funding approach which will require trustees to set a funding and investment strategy. For this first time, schemes must aim to achieve a ‘long term objective’ and produce a written statement of the strategy, a copy of which must be sent to the Regulator. The objective is for a scheme to have, at least, low dependency on the employer, in terms of funding and investment, by the time a scheme is significantly mature.
The draft regulations are expected to come into force in October 2023 together with the Regulator’s revised DB funding code of practice.
The new DB funding code of practice sets out the Regulator’s approach to this new framework including the introduction of a twin track approach, fast track for those schemes that can meet set guidelines and a bespoke route for those that need or want additional flexibility.
The second consultation together with the revised draft DB funding code of practice was published by the Regulator on 16 December 2022 alongside a consultation document on its Fast Track and Twin Track regulatory approach and a response to the first consultation. Gateley’s in-depth insight outlines the key points from the draft code – this can be accessed here.
1 October 2023 to 1 October 2024 (2023+-specific)
DC illiquid investments (action required if DC)
Relevant defined contribution (DC) schemes will have to disclose and explain their policy on illiquid investment through the statement of investment principles and their default asset allocation in the annual chair’s statement. The disclosures will need to be included by the first date on which the default SIP is revised after 2023 with a long-stop date of October 2024.
31 December 2023 (2023-specific)
EU law (for information only)
The Retained EU Law (Revocation and Reform) Bill repeals certain retained EU law at the end of 2023 unless it is explicitly spared. At the time of writing, there is still uncertainty around which legislation will be repealed and which will be retained.