Thematic Review of the Pension Transfer Landscape in the Bailiwick9th June 2022
The Commission has today published a Thematic Review of the Pension Transfer Landscape in the Bailiwick.
The Thematic Review highlights our findings for both the local pension sector and for pension members and illustrates our expectations in this area together with examples of good practice and areas for improvement.
If a pension transfer request is not completed within 60 days from the date the provider received all reasonable information and documentation, the Scheme Member should be provided with an explanation regarding the reasons for the delay. The Commission expects anyone undertaking this regulated activity to process transfer requests promptly, accurately, without unreasonable delays and without any unreasonable conditions imposed on Scheme Members who request a transfer. Careful consideration should be given to the risks associated with pension transfers, several of which are potentially significant and can undermine future pension value.
The Thematic Review was comprehensive and included local pension providers who provide services to 94% of all members invested in Bailiwick pension schemes and it was encouraging to note that 95% of the total pension transfer requests were approved and that 77% of approved transfers took place within the 60 days suggested by the Pension Rules.
Speaking about the publication of the Thematic Review, a Commission spokesperson said, “Pension transfers are not necessarily straightforward and Guernsey pension providers, Trustees and Scheme Administrators, have an obligation to act with due skill, care and diligence to fulfil their responsibilities to the pension scheme members.”
See a copy of the Commission's Thematic Review here.