A summary of The Pensions Regulator (TPR) Board meeting in March 2024.
Introduction, apologies and welcomes
The Chair welcomed the Board members and the observers, including Adam Zwi, NextGen Non-Executive Director from OfCom, and Cliodhna Judge, Head of Supervision Events. Mel Charles was also welcomed as an official Board member. There were no apologies. Non-Executive Director Alison Hatcher declared an interest in relation to the options master trust merger and received a redacted report.
Declarations of conflicts of interest
The Board noted the declarations of interests and confirmed that there were no conflicts for the items on the agenda.
Draft minutes of 21 February 2024 board meeting
The Board approved the minutes of the previous meeting subject to minor corrections.
Chair's update
The Chair gave an update on the recent activities and events, including speeches, meetings, and board training. The Chair also invited the Chair of the Audit and Risk Assurance Committee (ARAC) to give a verbal update on the highlights of the committee meeting held on 6 March, which covered topics including external and internal audit, governance, risk, and health and safety.
CEO report: strategy
The CEO presented her report, focusing on the achievement of the general code being laid, which comes into effect on 27 March 2024. The CEO also highlighted the Spring Budget announcements, the vision for organisational transformation, and the recent meeting with the new CEO of the Pension Protection Fund.
CEO report: operations
The CEO summarised the key points of her report, the financial position and the budget underspend, the recruitment update, and the use of artificial intelligence. The Board discussed these issues and requested further information and actions on some of them.
Multidisciplinary team work on master trusts
The Board received a presentation from the multidisciplinary team working on a pilot project on master trusts, which involved a non-hierarchical team of specialists from different directorates and functions. The Board reflected on the learnings and benefits of the pilot and provided feedback and suggestions for further development.
Deep dive: consolidation
The Board had a strategic discussion on the topic of consolidation in the pensions landscape, and the challenges and opportunities for regulation. The Board considered the various aspects and drivers of consolidation in the DB and DC markets, and the role and approach of TPR in this area.
Findings of 2023 perceptions tracker survey and stakeholder perceptions research
The Board reviewed the results of the recent research among stakeholders, which showed stakeholders saw the strengths in TPR's industry knowledge, stakeholder management and communications. The Board also discussed the areas for improvement identified by the research, such as proactive and assertive enforcement, clarity on guidance, and focus on market evolution.
Draft Corporate Plan 2024 to 2027
The Board discussed the draft Corporate Plan, which sets out the rationale for the regulatory priorities and the deliverables for the next three years. The Board provided feedback on the content and the format of the plan and approved delegated authority for the Chair and CEO to confirm sign-off of the final document.
Corporate measurements
The Board considered the draft key performance indicators for the Corporate Plan, which were aligned to the new vision and outcomes focused. The Board made some comments and suggestions on some of the indicators and approved delegated authority for the Chair and CEO to confirm sign-off of the final version, subject to budget approval and inclusion of DDaT indicators.
TPR control framework
The Board endorsed the need to improve the issue management and control testing in the first line, as part of the ongoing initiatives to enhance the control framework. The Board agreed that the new COO should pick up this matter when he joins, and in the meantime, an exercise should be carried out to understand what controls directorates have in place.
Routine business
The Board noted the action plan, the forward plan, and the annual review of the schedule of delegations. The Board also noted the top five out of appetite risks and the updates on the mitigation plans.
Questions on papers to note
The Board noted the draft minutes of the Remuneration and People Committee, and the Board and committee dates for 2025.
Any other business
The Board expressed its gratitude to Nicola Parish, who left the Board on 2 February, for her long and valuable service to TPR. The Board also welcomed the new appointments of Andrew Baigent as Chief Operating Officer and Amanda Moore as Chief Transformation Officer.