The general code, which came into force in March, consolidated ten of the regulator’s existing codes into one and also introduced some new requirements including a requirement to establish an effective system of governance (ESOG). The code also introduced a requirement for schemes with 100 or more members to undertake an own risk assessment to ascertain how well the ESOG is working and how potential risks are being mitigated.
WTW’s 2024 Trustee Governance Survey of 132 trustees, pension managers and other stakeholders, conducted in March and April, found compliance with TPR’s code was the top governance priority for over two-fifths (41%) of the respondents over the course of the next two years, while 40% said improving ongoing administration and processes was the priority. The other top priorities included preparation for buyout (33%) and focus on risk management (31%).
On compliance with the general code, the survey showed most respondents did not see this as being a “significant” burden, with 62% saying only minor changes to their scheme’s governance would be required, while 36% said moderate changes were needed. WTW said this indicated many trustee boards were already…
