The work and Pensions Committee have pulled today’s DWP Defined Benefit White Paper consultation proposals together into in a pdf to make it more accessible – there is a link to the DWP version below.
Commenting on the proposal to give TPR “a new power to issue a civil penalty of up to £1,000,000 for more serious breaches” of pension requirements, Rt Hon Frank Field MP, Chair of the Committee, said:
“The accountancy profession must have been in charge of drafting this section of the paper, as it appears they have misplaced a decimal point. The likes of Sir Philip Green need to be fined a billion, not a million, if the Regulator is to have a deterrent effect.”
Following its inquiry into the sale of BHS and in its subsequent work on DB pensions regulation, the Committee has called for “nuclear deterrent” level fines of up to 3 times the amount determined in a TPR issued Contribution Notice, to “focus boardroom minds” at the point at which decisions affecting the funding of pension schemes are taken. The Committee’s current Defined benefit pensions white paper inquiry will next take evidence on 18th July, from TPR.