Master trust assurance framework
We are pleased to announce that the Legal & General Mastertrust has recently achieved Master Trust Assurance Framework accreditation.
The framework was developed by The Pensions Regulator (TPR) in partnership with the ICAEW (Institute of Chartered Accountants in England and Wales). It is designed to help trustees assess whether their scheme has adopted standards of governance and administration that meet the TPR's Defined Contribution code and Defined Contribution regulatory guidance.
Obtaining master trust assurance enables providers to demonstrate that their scheme has adopted governance and administration processes to address a range of risks in master trusts by providing an independent review of the description and design of the scheme's governance controls against a defined set of control objectives.
Master trusts have recently been subject to criticism in the media. Due to the sheer number of schemes that have been set up since the start of automatic enrolment, ministers and regulators are concerned that not all schemes will be sustainable and some may exit the market in a disorderly fashion, leading to members having to bear the cost of that exit.
However, well-run master trusts with strong support from their sponsor are an excellent way for people to save for their retirement and we fully support the need for additional regulation to be introduced to ensure members receive good outcomes and that their assets are protected in the event the scheme fails. The Master Trust Assurance Framework is one way to demonstrate that high standards are in place.
For more information please contact firstname.lastname@example.org.