Commentary on Sections Part 6 – Private Pensions Section 47: Preparation of guidance for pensions illustrations
195.Occupational, personal and stakeholder pension schemes are required by regulations to provide a Statutory Money Purchase Illustration (SMPI) to members on an annual basis.
196.In producing the SMPI, relevant pension schemes must comply with guidance currently contained in the “AS TM1: Statutory Money Purchase Illustrations”, issued at present by the Financial Reporting Council Ltd (FRC).
197.Section 18 of the Companies (Audit, Investigations and Community Enterprise) Act 2004 exempts a body given a grant by the Secretary of State from liability in damages that arise from certain activities. These activities are set out in section 16(2) of that Act.
198.The measure amends the Companies (Audit, Investigations and Community Enterprise) Act 2004 to provide that a relevant body shall be exempt from liability for damages arising from the production of a statutory money purchase illustration based on the relevant body’s technical memorandum.