Pension Schemes Act 2026

1. Introductory Text

2. Part 1 Defined benefit pensions

   1. Chapter 1 Local government pension schemes

      1. 1. Asset pool companies

      2. 2. Asset management

      3. 3. Additional powers for certain scheme managers

      4. 4. Exemption from public procurement rules

      5. 5. Scheme manager governance reviews

      6. 6. Mergers of funds

      7. 7. Amendments of 2013 Act relating to scheme regulations

      8. 8. Interpretation of Chapter 1

   2. Chapter 2 Powers to pay surplus to employer

      1. 9. Power to modify scheme to allow for payment of surplus to employer

      2. 10. Restrictions on exercise of power to pay surplus

3. Part 2 Defined contribution pensions

   1. Chapter 1 Value for money

      1. 11. Relevant schemes: value for money

      2. 12. Publication etc of metric data

      3. 13. VFM assessments

      4. 14. Member satisfaction surveys

      5. 15. VFM ratings

      6. 16. Consequences of an intermediate rating

      7. 17. Consequences of a “not delivering” rating

      8. 18. Compliance and oversight

      9. 19. Sharing of database where FCA makes corresponding rules

      10. 20. Crown application

      11. 21. Interpretation of Chapter

   2. Chapter 2 Consolidation of small dormant pension pots

      1. Power to make small pots regulations

         1. 22. Small pots regulations

      2. Transfers

         1. 23. Determination of destinations for small pots

         2. 24. Transfer notices

         3. 25. Exempt pots

         4. 26. Transfer etc of small dormant pension pots

         5. 27. Effect of transfer on membership of scheme etc

         6. 28. Timing of transfers

      3. Authorisation

         1. 29. Authorisation of consolidator schemes etc by the Pensions Regulator

         2. 30. Consolidator schemes and consolidator arrangements

      4. Supplementary

         1. 31. Further provision about contents of small pots regulations

         2. 32. Enforcement by the Pensions Regulator

         3. 33. Enforcement by the FCA

      5. Interpretation etc

         1. 34. Power to alter definition of “small”

         2. 35. Crown application

         3. 36. Interpretation of Chapter

         4. 37. Meaning of “pension pot”

      6. Amendments of other Acts

         1. 38. Amendments of the Financial Services and Markets Act 2000

         2. 39. Repeal of existing powers

   3. Chapter 3 Scale and asset allocation

      1. 40. Certain schemes providing money purchase benefits: scale and asset allocation

      2. 41. Amendments related to section 40

   4. Chapter 4 Default arrangements

      1. 42. Regulations restricting creation of new non-scale default arrangements

      2. 43. Review in relation to non-scale default arrangements

      3. 44. Regulations about consolidation of non-scale default arrangements

      4. 45. Regulations about default arrangements

      5. 46. Amendments of the Financial Services and Markets Act 2000

      6. 47. Crown application

      7. 48. Interpretation of Chapter

   5. Chapter 5 FCA-regulated pension schemes: contractual override

      1. 49. FCA-regulated pension schemes: contractual override

   6. Chapter 6 Guided retirement

      1. 50. Default pension benefit solutions

      2. 51. Transferable members

      3. 52. Provision and gathering of information

      4. 53. Information etc in connection with selection of benefit solution

      5. 54. Pension benefits strategy

      6. 55. Enforcement and compliance

      7. 56. Crown application

      8. 57. Interpretation of Chapter

      9. 58. Corresponding provision in relation to FCA-regulated schemes

4. Part 3 Superfunds

   1. Chapter 1 Introductory

      1. 59. Overview

      2. 60. Key concepts

      3. 61. Schemes divided into sections

   2. Chapter 2 Authorisation of superfunds

      1. 62. Prohibition of unauthorised superfund activity

      2. 63. Authorisation of superfunds

      3. 64. Timing of decisions about authorisation

   3. Chapter 3 Approval of superfund transfers

      1. 65. Prohibition of unapproved superfund transfers

      2. 66. Approval of superfund transfers

      3. 67. Special provision for certain schemes coming out of assessment period

      4. 68. Applications for approval

   4. Chapter 4 Ongoing requirements of operating superfunds

      1. Governance and organisation

         1. 69. Governance and structure

         2. 70. Management documents

      2. Funding and investment

         1. 71. Duty to monitor financial thresholds

         2. 72. “Financial thresholds”

         3. 73. Capital buffer: compulsory release to trustees

         4. 74. Capital buffer: permitted release to other persons

         5. 75. Capital buffer: investment

         6. 76. Capital buffer: verification of valuations

      3. Approval and certification of key personnel

         1. 77. Key functions

         2. 78. Approval of individuals responsible for key functions

         3. 79. Certification of staff supporting individuals responsible for key functions

         4. 80. Approval of superfund scheme trustees

      4. Information and reporting

         1. 81. Events to be notified to the Regulator

         2. 82. Regular reporting

         3. 83. Returns

         4. 84. Reports in relation to alleged compliance breaches

         5. 85. Provision of information by responsible body to trustees

   5. Chapter 5 Events of concern

      1. 86. “Event of concern” and “period of concern”

      2. 87. Notification of Regulator in respect of events of concern

      3. 88. Responding to events of concern

      4. 89. Content of response plan

      5. 90. Regulator’s direction-making powers during period of concern

      6. 91. Directions to pause payments or transfers of liabilities: supplementary provision

      7. 92. Fixed penalty notices

      8. 93. Escalating penalty notices

      9. 94. Withdrawal of authorisation

      10. 95. Release of capital buffer treated as reducing employer debt

   6. Chapter 6 General provision and interpretation

      1. 96. Power to extend superfunds legislation to similar structures

      2. 97. Construction of “occupational pension scheme” and “employer” in relation to superfund schemes

      3. 98. Consequential amendments

      4. 99. Transitional provision

      5. 100. Interpretation of Part

5. Part 4 Miscellaneous

   1. Chapter 1 Validity of certain alterations to salary-related contracted-out pension schemes

      1. Schemes in Great Britain

         1. 101. Sections 101 to 104: interpretation and scope

         2. 102. Validity of certain alterations to GB salary-related contracted-out pension schemes: subsisting schemes

         3. 103. Validity of certain alterations to GB salary-related contracted-out pension schemes: wound up schemes and other special cases

         4. 104. Powers to amend provisions of Chapter 1 etc: Great Britain

      2. Schemes in Northern Ireland

         1. 105. Sections 105 to 108: interpretation and scope

         2. 106. Validity of certain alterations to NI salary-related contracted-out pension schemes: subsisting schemes

         3. 107. Validity of certain alterations to NI salary-related contracted-out pension schemes: wound up schemes and other special cases

         4. 108. Powers to amend Chapter 1 etc: Northern Ireland

   2. Chapter 2 Pension compensation: indexation

      1. 109. Indexation of periodic compensation for pre-1997 service: Great Britain

      2. 110. Indexation of periodic compensation for pre-1997 service: Northern Ireland

      3. 111. Financial Assistance Scheme: indexation of payments for pre-1997 service

   3. Chapter 3 AWE Pension Scheme

      1. New public pension schemes

         1. 112. Establishment of new public schemes and transfer of rights

         2. 113. New public schemes: further provision

         3. 114. Protection against adverse treatment: transfer of rights

         4. 115. Protection against adverse treatment: amendment of new public schemes

         5. 116. Transfer of assets and liabilities

      2. Supplementary

         1. 117. Taxation

         2. 118. Information

         3. 119. Regulations

         4. 120. Interpretation

   4. Chapter 4 Other miscellaneous provision

      1. 121. Alienation or forfeiture of occupational pension

      2. 122. Terminal illness

      3. 123. Pension protection levies

      4. 124. Pensions dashboards

      5. 125. Information to be given to pension schemes by employers

      6. 126. Funding of the Board of the Pension Protection Fund

      7. 127. Funding of the Ombudsman for the Board of the Pension Protection Fund

      8. 128. Public service pension schemes

6. Part 5 General

   1. 129. Amendments of Pensions Act 2004

   2. 130. Regulations: general

   3. 131. Regulations: procedure

   4. 132. Extent

   5. 133. Commencement

   6. 134. Short title

7. 1. Schedule

      Amendments of Pensions Act 2004

      1. 1. The Pensions Act 2004 is amended as follows.

      2. 2. In section 10 (functions exercisable by the Determinations Panel), in...

      3. 3. In section 13 (improvement notices) in subsection (7), after paragraph...

      4. 4. In section 70 (duty to report breaches of the law),...

      5. 5. In section 72 (provision of information) subsection (2), after paragraph...

      6. 6. (1) In section 73 (inspection of premises), subsection (2) is...

      7. 7. In section 76 (inspection of premises: supplementary), in subsection (3)(a),...

      8. 8. In section 77A (fixed penalty notices), at the end insert—...

      9. 9. In section 77B (escalating penalty notices), at the end insert—...

      10. 10. In section 80 (offences of providing false or misleading information),...

      11. 11. In section 80A (financial penalty for providing false or misleading...

      12. 12. (1) Section 90 (codes of practice issued by Regulator) is...

      13. 13. In section 93 (Regulator’s procedure in relation to its regulatory...

      14. 14. In section 97 (special procedure: applicable cases), in subsection (5),...

      15. 15. In section 126 (pension protection: eligible schemes), after subsection (1A)...

      16. 16. In section 127 (pension protection: duty to assume responsibility for...

      17. 17. In section 222 (the statutory funding objective), after subsection (4)...

      18. 18. (1) Section 224 (actuarial valuations and reports) is amended as...

      19. 19. In section 256 (no indemnification for fines or civil penalties),...

      20. 20. (1) In section 318 (general interpretation), in subsection (1), at...

      21. 21. (1) Schedule 2 (the reserved regulatory functions) is amended as...