Revised Clearance Guidance issued by the Pensions Regulator

Updated Clearance Guidance changes the framework within which employers seek clearance for future business activities and puts more pressure on trustees to seek mitigation. The changes are likely to result in UK pension trustees becoming more demanding and being more involved in a wider range of corporate activities.

The guidance extends the range of 'Type A' events that can trigger a clearance request to the Regulator. Trustees are expected to seek mitigation to a much greater extent than any other unsecured creditor. Combined with the Regulator's request for greater prudence, this could lead to transactions being delayed by additional process and may also result in employers facing increased costs.

For more information go to Pension File.