Independent Review of The Pensions Regulator (TPR)

DWP undertook this review to ensure that The Pensions Regulator (TPR) remains fit for purpose, and whether it is still required as a public body.

Independent review of The Pensions Regulator (TPR)

This report sets out the findings from the DWP’s public bodies review of The Pensions Regulator (TPR), undertaken during the early part of 2023 and led by Mary Starks as the independent lead reviewer.

In doing so consideration was given to:

• whether TPR is well set up to do its job within the wider systems of pensions and financial regulation
• whether TPR is well set up to adapt and respond to future challenges
• whether TPR is well governed, efficiently run and appropriately funded
• how well TPR is managing relationships with its key stakeholders
• opportunities to undertake activities in a more efficient manner

The report concludes that TPR is broadly well-run and well-regarded. It has some notable successes in its track record, for example the implementation of Automatic Enrolment (AE). It has a coherent strategy focussed on clear outcomes with the interests of savers at its heart and holds itself to account against a range of key outcome and performance indicators. The recommendations in this report relate to areas for improvement but should be viewed against this positive backdrop.

Seventeen recommendations are made, centred around 3 themes:

• Risk and growth: The question of how UK pension funds are invested has come under the spotlight. It is important that TPR plays an authoritative part in these policy discussions.
• Compliance and enforcement: TPR has a thoughtful approach to driving compliance by both employers and pension schemes, but it is important that TPR is known for taking tougher action when necessary.
• Digital transformation and value for money: TPR has grown significantly in recent years reflecting the additional workload it has taken on. TPR must find ways to discharge existing functions more efficiently.

This report was finalised before the Chancellor’s Mansion House speech on the 10 July, where a series of measures were announced to boost saver outcomes and increase funding liquidity for high-growth companies through reforms to the UK’s pension market.