Payments made by employers to personal pension schemes
245.—(1) Section 107A of the Pension Schemes Act (monitoring of employers' payments to personal pension schemes) is amended as follows.
(2) For subsections (3) to (7) substitute—
“(3) The trustees or managers of the scheme must monitor the payment of contributions by or on behalf of the employer under the direct payment arrangements.
(4) The trustees or managers may request the employer to provide them, (or arrange for them to be provided) with the payment information specified in the request.
(5) For the purposes of subsection (4) “payment information” is information required by the trustees or managers to enable them to discharge the duty imposed by subsection (3).
(6) The employer must comply with a request under subsection (4) within a reasonable period.
(7) Where, as a result of the employer’s failure to so comply, the trustees or managers are unable to discharge the duty imposed by subsection (3), they must give notice to that effect to the Regulatory Authority within a reasonable period.
(7A) Where—
(a)a contribution payable under the direct payment arrangements has not been paid on or before its due date, and
(b)the trustees or managers have reasonable cause to believe that the failure to pay the contribution is likely to be of material significance in the exercise by the Regulatory Authority of any of their functions,
they must give notice to that effect to the Regulatory Authority and the employee within a reasonable period after the due date.”.
(3) In subsection (8) (employer’s liability for civil penalties) for “subsection (3) or (5)” substitute “subsection (6) and as a result the trustees or managers of the scheme are unable to discharge the duty imposed by subsection (3)”.
(4) In subsection (9) (liability of trustees or managers for civil penalties) for “subsection (6) or (7)” substitute “subsection (7) or (7A)”.