Finance Bill 2021/22 pensions clauses

The Treasury and Her Majesty’s Revenue and Customs (HRMC) have published draft clauses for the next Finance Bill (Finance Bill 2021/22 - which should eventually become the Finance Act 2022). They include provisions to implement the planned increase to the normal minimum pension age (NMPA) in 2028 (the Government has also announced the outcome of the February to April 2021 consultation exercise on the subject) and proposed changes to 'scheme pays' deadlines to allow members to use the process when their annual allowance pensions input amount for a tax year is retrospectively amended.

PPF cap still unlawful, but remedial methods appropriate

On 19 July 2021, the Court of Appeal for England and Wales issued judgments on two linked appeals in the Hughes litigation about the validity of the Pension Protection Fund (PPF) compensation cap. It dismissed the DWP's appeal against the finding that the cap is unlawful, contrary to EU law, on grounds of age discrimination; but it allowed the PPF's appeals on its methods for correcting the compensation payable to scheme members and their survivors.

Trustees to ‘nudge’ members more forcefully toward MaPS guidance

The Department for Work and Pensions (DWP) has published draft Regulations that would require occupational pension scheme trustees and managers to promote the guidance available from the Money and Pensions Service (MaPS) in dealings with older members with money purchase benefits, and their survivors.

HMRC newsletters - July 2021

Countdown Bulletin 55 and Pension Schemes Newsletter 131

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