Trustees should embrace governance or "face compulsion"

A draft code of practice published by the Pensions Regulator, which ends its consultation period on 2 December, sets out guidelines on how schemes could comply with the legal requirements in the Pensions Act 2004 which places an obligation on trustees of occupational pension schemes to have “sound administrative and accounting procedures and adequate internal control mechanisms”. Watson Wyatt says that while it is supportive of the Pensions Regulator’s aims, it believes it is impossible to have good internal controls without a strong, overarching governance framework. It claims there is n...