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The Occupational Pension Schemes (Collective Money Purchase Schemes) Regulations 2022

S.I. 2022/255 · Made 8 March 2022 · Extends to England, Wales and Scotland

Up to date with all changes known to legislation.gov.uk, revised to 31 July 2026.

Pensions

Made 8th March 2022

Coming into force 1st August 2022

The Secretary of State for Work and Pensions makes the following Regulations in exercise of the powers conferred by sections 28 and 144(2) and (4) of the Pensions Act 2008f1, sections 43 and 54(5) and (6) of, and paragraphs 1 and 2 of Schedule 18 to, the Pensions Act 2014f2 and sections 3(8), 5(2), 8(4)(a) and (b), 11(2)(e) and (3)(a), 12(2)(b), 13(3), 14(3), 15(4)(a), 16(2), 17(4), (5) and (8), 18(4), 19(2), 20(5), 22(3)(b), 23(3)(c), 27(2), 28(3) and (4), 29(7)(a) and (10)(a) and (b), 33(4)(b) and (10), 36(1)(c), (2)(b) and (c), (5), (6) and (10), 37(3)(b), 38(3), 39(1)(b), 40(4) and (6), 41(2), 43(2) and (4)(b) and (c), 45(3) and (6), 49(2)(b) and (4) and 51(2) and (3) of, and paragraph 1(6) of Schedule 2 to, the Pension Schemes Act 2021f3.

The Secretary of State has consulted such persons as the Secretary of State considers appropriate, in accordance with paragraph 8 of Schedule 18 to the Pensions Act 2014.

A draft of these Regulations has been laid before and approved by a resolution of each House of Parliament in accordance with section 143(4) and (5)(a) of the Pensions Act 2008f4, section 54(2)(e) and (g) of the Pensions Act 2014f5 and section 51(5) of the Pension Schemes Act 2021f6.

The Secretary of State has exercised her discretion under section 51(6) of the Pension Schemes Act 2021 to make regulations subject to affirmative resolution procedure which would otherwise be subject to negative resolution procedure.

Annotations to the whole text

Footnotes

f1

2008 c. 30. Section 28 was amended by sections 12 and 13 of the Pensions Act 2011 (c. 19), section 39 of the Pensions Act 2014 (c. 19) and section 46 of, and paragraphs 39 and 45 of Schedule 2 to, the Pension Schemes Act 2015 (c. 8). See section 99 of the Pensions Act 2008 for the definitions of “prescribed” and “regulations”.

f2

2014 c. 19. Paragraph 1 of Schedule 18 to the Pensions Act 2014 (“the 2014 Act”) is amended by section 127 of, and paragraphs 23 and 25(1) and (2) of Schedule 3 to, the Pension Schemes Act 2021 (c. 1) (“the 2021 Act”). See paragraph 15 of Schedule 17 to the 2014 Act for the definition of “prescribed”.

f3

2021 c. 1.

f4

A statutory instrument containing regulations under section 28 of the Pensions Act 2008 is stated to be made subject to affirmative resolution procedure.

f5

The first regulations under paragraph 1 of Schedule 18 to the 2014 Act that make provision in relation to collective money purchase schemes (within the meaning of the 2021 Act) and regulations under paragraph 2 of Schedule 18 to that Act are stated to be made subject to affirmative resolution procedure.

f6

Regulations made under sections 5(2), 11(3)(a), 12(2)(b), 13(3), 14(3), 15(4)(a), 16(2), 17, 18(4), 36(2), 36(6), 45(3)(a), 45(6), 49(2) and 49(4), and the first regulations made under sections 19(2), 20(5), 28(3) and 45(3)(b), of the 2021 Act are stated to be made subject to affirmative resolution procedure.

Contents

  1. Part 1: Preliminary provisions
  2. 1Citation, extent and commencement
  3. 1AApplication
  4. 2Interpretation and notices
  5. 3Connected employers Repealed
  6. Part 2: Schemes divided into sections
  7. 4Qualifying schemes
  8. 5Schemes divided into sections
  9. Part 3: Authorisation
  10. 6Authorisation: contents
  11. 7Application for authorisation: fee
  12. 8Fit and proper persons requirement
  13. 9Scheme design requirement
  14. 10Viability report
  15. 11Viability certificate
  16. 12Financial sustainability requirement
  17. 13Communication requirement
  18. 14Systems and processes requirement
  19. 15Continuity strategy: contents
  20. 16Continuity strategy: administration charges
  21. Part 4: Valuation and benefit adjustment
  22. 17Calculation of benefits
  23. 18Advice of scheme actuary
  24. 19Actuarial valuations
  25. 20Reporting requirements relating to benefit adjustments
  26. 21Powers of the Regulator
  27. Part 5: Ongoing supervision
  28. 22Supervisory return: contents
  29. 23Significant events
  30. 24Risk notices
  31. Part 6: Triggering events and continuity options
  32. 25Triggering events: notification requirements
  33. 26Implementation strategy: approval
  34. 27Implementation strategy: charges
  35. 28Implementation strategy: content
  36. 29Continuity option 1: discharge of liabilities and winding up
  37. 30Continuity option 2: resolving the triggering event
  38. 31Continuity option 3: conversion to closed scheme
  39. 32Periodic reporting requirement
  40. 33Pause orders
  41. 34Administration charges during a triggering event period
  42. Part 7: Collective money purchase benefits – amendments to secondary legislation
  43. 35Collective money purchase benefits – amendments to secondary legislation
  44. Signature
  45. Schedule 1: Fit and proper persons requirement
  46. 1Paragraph 1
  47. 2Paragraph 2
  48. 3Paragraph 3
  49. Schedule 2: Scheme design requirement
  50. Part 1: Matters that the Regulator must take into account
  51. 1Paragraph 1
  52. Part 2: Viability report
  53. Preliminary
  54. 2Paragraph 2
  55. General
  56. 3Paragraph 3
  57. 4Paragraph 4
  58. 5Paragraph 5
  59. 6Paragraph 6
  60. 7Paragraph 7
  61. Information about the design of the scheme
  62. 8Paragraph 8
  63. 9Paragraph 9
  64. Part 3: Viability certificate
  65. 10Paragraph 10
  66. 11Paragraph 11
  67. 12Paragraph 12
  68. 13Paragraph 13
  69. 14Paragraph 14
  70. Schedule 3: Financial sustainability requirement
  71. Part 1: Information required on application for authorisation
  72. 1Paragraph 1
  73. Part 2: Matters which the Regulator must take into account
  74. 2Paragraph 2
  75. 3Paragraph 3
  76. Part 3: Requirements to be met by the collective money purchase scheme
  77. 4Paragraph 4
  78. Schedule 4: Communication requirement
  79. Interpretation
  80. 1Paragraph 1
  81. Preliminary
  82. 2Paragraph 2
  83. Functionality, quality and maintenance of IT systems
  84. 3Paragraph 3
  85. Resource planning
  86. 4Paragraph 4
  87. Quality assurance
  88. 5Paragraph 5
  89. Member engagement
  90. 6Paragraph 6
  91. Schedule 5: Systems and processes requirement
  92. Preliminary
  93. 1Paragraph 1
  94. Features and functionality of IT systems
  95. 2Paragraph 2
  96. Standards required of IT systems
  97. 3Paragraph 3
  98. Maintenance of IT systems
  99. 4Paragraph 4
  100. Member records
  101. 5Paragraph 5
  102. Trustees and others
  103. 6Paragraph 6
  104. Contracts and service providers
  105. 7Paragraph 7
  106. Governance
  107. 8Paragraph 8
  108. Risk management
  109. 9Paragraph 9
  110. Security
  111. 10Paragraph 10
  112. Resource planning
  113. 11Paragraph 11
  114. Investments
  115. 12Paragraph 12
  116. Valuation and benefit adjustment
  117. 13Paragraph 13
  118. Member engagement
  119. 14Paragraph 14
  120. Schedule 6: Continuity Option 1: transfer out and winding up
  121. Definitions
  122. 1Paragraph 1
  123. Alternative ways of discharging the scheme’s liability
  124. 2Paragraph 2
  125. Requirements of rules of scheme
  126. 3Paragraph 3
  127. Winding-up commencement time
  128. 4Paragraph 4
  129. Quantification of the value of beneficiaries’ accrued rights to benefits
  130. 5Paragraph 5
  131. Winding-up period
  132. 6Paragraph 6
  133. Periodic income
  134. 7Paragraph 7
  135. Information about periodic income
  136. 8Paragraph 8
  137. Scheme to continue to be a CMPS during winding-up
  138. 9Paragraph 9
  139. Trustees’ notice to employers
  140. 10Paragraph 10
  141. Notification to receiving scheme
  142. 11Paragraph 11
  143. Trustees’ first notice to beneficiaries in respect of discharge options
  144. 12Paragraph 12
  145. Trustees’ second notice to beneficiaries in respect of discharge options
  146. 13Paragraph 13
  147. Beneficiaries’ response to trustees
  148. 14Paragraph 14
  149. Notice of expected discharge time
  150. 15Paragraph 15
  151. Trustees’ powers
  152. 16Paragraph 16
  153. Trustees’ duty to transfer
  154. 17Paragraph 17
  155. Administration charges
  156. 18Paragraph 18
  157. Trustee discharge
  158. 19Paragraph 19
  159. Winding up
  160. 20Paragraph 20
  161. Regulator’s power to direct
  162. 21Paragraph 21
  163. Civil penalties
  164. 22Paragraph 22
  165. Schedule 7: Collective money purchase benefits: amendments to secondary legislation
  166. 1Amendments to the Occupational Pension Schemes (Scheme Administration) Regulations 1996
  167. 2Amendment of the Occupational and Personal Pension Schemes (Automatic Enrolment) Regulations 2010
  168. 3Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  169. 4Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  170. 5Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  171. 6Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  172. 7Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  173. 8Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  174. 9Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  175. 10Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  176. 11Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  177. 12Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  178. 13Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  179. 14Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  180. 15Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  181. 16Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  182. 17Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  183. 18Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  184. 19Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  185. 20Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  186. 21Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  187. 22Amendments to the Occupational Pension Schemes (Charges and Governance) Regulations 2015
  188. Explanatory note