Additional information and resources to help you prepare for and complete a scheme return for a defined contribution (DC) scheme.
See scheme return for further information about completing the scheme return, including the most common queries.
This year’s scheme return: what’s changed?
A one-part scheme return for all schemes
DC schemes will complete the scheme return in one part this year.
In 2022, additional questions for some DC schemes were issued using a separate online form. These will now be available through Exchange.
An improved format for some questions
The questions that were added in 2022, along with the questions about fiduciary managers and investment consultancy providers described below, will be in a different format.
You will be asked individual questions or sets of questions on separate pages before submitting your responses. The questions in these sections will have relevant guidance and links alongside them.
New questions this year
New questions requesting information about fiduciary managers and investment consultancy providers.
Trustees of relevant trust schemes are legally required to run a competitive tender process when appointing fiduciary managers in relation to 20% or more of scheme assets. They are also prohibited from receiving investment consultancy services without having set strategic objectives for their investment consultancy provider. The trustees must review the objectives at least every three years (and promptly after any significant changes to the scheme’s investment policy) to ensure that they remain suitable.
These requirements have been in place since 2019. In October 2022, The Pensions Regulator (TPR) took over responsibility for monitoring compliance with these requirements from the Competition and Markets Authority.
We will ask you for information about your fiduciary managers, including their contact details and when they were appointed to the scheme. We will also ask whether they were appointed using a competitive tender process.
We will also ask you for information about your investment consultancy providers, including their contact details and when they were appointed to the scheme. We will ask when strategic objectives were set for them and when those objectives will be reviewed.
Fiduciary managers
- Is there a fiduciary manager appointed to the scheme?
- Fiduciary manager contact details: enter the organisation’s name and address.
- Fiduciary manager individual contact details: enter the individual’s name, email address and telephone number.
- Date of appointment to the scheme.
- Was the fiduciary manager appointed by a competitive tender process?
Read the guidance: Tender for fiduciary management services
Investment consultancy providers
- Investment consultancy provider contact details: enter the organisation’s name and address.
- Investment consultancy provider individual contact details: enter the individual’s name, email address and telephone number.
- Date of appointment to the scheme.
- Have the trustees of the scheme set strategic objectives for this investment consultant?
- When were these objectives set?
- When will these objectives be reviewed?
Read the guidance: Set objectives for your investment consultant
Value for members assessment
Trustees of certain DC schemes must carry out a more detailed value for members assessment (involving comparison with other schemes) – that is, any scheme that holds less than £100 million total assets according to the most recently audited accounts and has been operating for three or more years at the point those accounts were obtained by the trustees.
Executive pension schemes and relevant small schemes are exempt from these requirements.
Check if your scheme is an executive pension scheme or relevant small scheme.
If the value for members assessment requirements apply to you, we will ask you the following questions:
- Have you notified The Pensions Regulator (TPR) that the scheme is in the process of winding up?
- Are the scheme’s trustees legally required to carry out a more detailed VFM assessment?
- (If you answered No) Select an option that best describes why the scheme does not have to complete a more detailed value for members assessment:
- The scheme is an executive pension scheme.
- The scheme is a relevant small scheme.
- Other reason.
- (If you answered Other reason) Explain why the scheme does not have to complete a more detailed value for members assessment.
- Did the latest more detailed value for members assessment conclude that the scheme provides good value for members?
- Was a more detailed value for members assessment carried out for the previous scheme year?
- Did that the previous scheme year’s more detailed value for members assessment conclude that the scheme provides good value for members?
- Given the outcome of the latest more detailed value for members assessment, do the trustees intend to transfer the money purchase benefits into another scheme?
- Are the trustees also proposing to wind up the scheme?
- (If you answered No) Explain why the trustees will not be winding up the scheme and what improvements to the scheme are proposed to make sure the scheme provides good value for members.
Chair’s statement
Trustees of most schemes providing DC benefits are legally required to prepare a chair’s statement containing certain information within seven months of the scheme year-end. Relevant small schemes and executive pension schemes are exempt from this requirement.
Some of the information from this statement must be published on a publicly accessible website, free of charge.
If these requirements apply to you, we will ask you:
- Have the scheme’s trustees published the required extracts from the latest chair’s statement on a publicly accessible website?
If you answered Yes:
- Provide the website address where the trustees have published extracts from the latest chair’s statement.
Statement of investment principles (SIP) and implementation statement
This question only applies to trustees of schemes with more than 100 members. The SIP and implementation statement must be published on a publicly accessible website, free of charge.
If these requirements apply to you, we will ask you:
- Have the scheme’s trustees published the scheme’s SIP and implementation statement on a publicly accessible website?
If you answered Yes:
- Website address of the latest published SIP.
- Website address of the latest published implementation statement.
Climate change report
Trustees need to comply with the climate change governance and reporting regulations if their scheme:
- has relevant assets of £1 billion or more at the end of their first scheme year ending on or after 1 March 2021 – in which case they must comply from 1 October 2022 (or if later, and if the scheme is not an ear-marked scheme, from the date the trustees obtain audited accounts in relation to that scheme year-end date)
- has relevant assets of £1 billion or more at the end of their first scheme year ending on or after 1 March 2022 – in which case they must comply from the beginning of the scheme year which is one year and one day after the scheme year-end date at which the assets were £1 billion or more
- is authorised (an authorised master trust or an authorised collective defined contribution scheme) – in which case they must comply from 1 October 2021 (or if later, from the date the scheme becomes authorised)
If you need to comply with these regulations, we will ask you:
- Have the scheme’s trustees published a climate change report?
- (If you answered Yes) Website address of the latest published climate change report.
When to complete your scheme return
If you need to complete a scheme return this year, we will send your scheme return notice between August and December 2023.
You must complete the scheme return and submit it to TPR by the due date in your scheme return notice.
You must submit a scheme return for all DC schemes you’re responsible for. A DC scheme with between two and 11 members is required to complete a scheme return every three years. A DC scheme with 12 or more members is requested to complete a scheme return every year.
Prepare for your scheme return
Update your scheme contacts using Exchange
Before taking any other action, please log into Exchange and make sure your scheme contact details are up to date. This is so we can make sure the scheme return is sent to the right person along with any further communications.
Make sure you can get the information you need
Take some time to familiarise yourself with your previous scheme return and gather the information you might need. If this is your first scheme return, you can familiarise yourself with the scheme return information requirements and any related guidance.
Find the scheme rules, the latest annual report and accounts and any recent statements of the scheme assets and contributions
Contact any third parties that may hold the required information in good time, as it may take time for them to provide it to you.
The 2023 scheme return questions will be the same as in the last scheme return, other than those listed above. If you have any queries about the scheme return, contact us.
Complete your scheme return
Complete and submit your scheme return to us using Exchange, our online service.
Select the help icon in Exchange for further guidance on a particular scheme return question. You can view the help text for scheme return questions without having to log in to Exchange. Some of the help text headings may appear more than once due to the way Exchange manages information.
See further information on how to use Exchange, including how to associate to a registered scheme.
Your legal responsibility
As a trustee or manager of a registrable scheme, it’s your legal duty to complete a scheme return by the deadline stated in the scheme return notice, unless the number of scheme members falls below two, or the scheme has been wound up.
If a scheme return hasn’t been completed and submitted to TPR by the deadline stated in the scheme return notice, this may be a breach of the Pensions Act 2004 and you risk being fined.