FCA releases Pensions Dashboard rules but no timetable

The FCA has published new rules firms must follow when designing and operating commercial Pensions Dashboards. Much-delayed Pension Dashboards, when launched, will enable savers to search for information on their pension schemes and will give an overview of how much they have saved and where. The regulator is currently designing the regulatory framework that Pensions Dashboards providers have to follow. It issued its Policy Statement with its proposed rules and expectations for the initial launch of private sector Pension Dashboards yesterday but made it clear that the rules were likely to evolve over time. The FCA first consulted on proposed requirements for firms operating a Pensions Dashboard in December 2022. Last month Pensions Minister Emma Reynolds confirmed that initially savers will only be able to access their information by going through the Pensions Dashboard run by the Government’s Money and Pension Service (MAPS). She confirmed that there was still no timetable setting out when commercial dashboards will be launched. Platform and SIPP provider AJ Bell greeted the new rules from the FCA as “helpful” but Rachel Vahey, head of public policy for the platform, said the statement still “leaves the pensions industry with only a set of rules and no definitive timescale for when commercial dashboards will become a reality”. She added: “Setting a clear date for commercial dashboards would allow providers to start planning in earnest. The development of dashboards has already been a bumpy ride with numerous stops and starts, and changes in who is responsible for getting it over the starting line. “But more importantly, this is a huge let-down for customers. Dashboards have the potential to empower pension savers. But instead of a single government outlet, they need to be offered by a wide variety of organisations to make sure as many people as possible can reconnect with their lost pensions.” Mike Ambery, retirement savings director at Standard Life, said: “The FCA has published its final rules for qualifying Pensions Dashboards in a big step forwards for the programme. The rules provide a degree of regulatory certainty that will allow providers to build the innovative services required to help savers engage with their retirement. "However, there are some missed opportunities, including a cautious approach to timescales and restrictions on how data can be exported. The document does note that these are the initial versions of the rules and there is space in future for iterating and refining, so we look forward to seeing them evolve.” The Pension Dashboards have been designed to improve engagement with pension savings and help reduce the number of lost pension pots in the UK. The Pensions Policy Institute (PPI) has estimated that there is over £31bn sitting in lost pension pots in the UK. The majority of pension schemes will have to connect to Pensions Dashboards to be able to share details of their members’ pensions. Only very small schemes with less than 100 members are currently exempt. All pension schemes have to connect by 31 October 2026 at the latest. The first guidance connection date is 30 April 2025. The DWP has said it will set the launch date of Pension Dashboards once it is sure enough pension schemes have connected and individual savers have a high chance of seeing all their pensions when they access the dashboard. The DWP has defended this approach by saying the danger is people will lose confidence in Pensions Dashboards if they request details but are not shown all their pensions. The FCA said it will open its gateway for applications for Pension Dashboard authorisation when the Government has, “produced all the information necessary for a firm to design and build” a Dashboard.

FCA releases Pensions Dashboard rules but no timetable

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