Administrator (Pensions) meaning

ARCHIVED: This Checklist sets out information on retirement options for DC members prior to 6 April 2015. It is no longer maintained and is provided for background purposes only. For more information on retirement options for DC members, see Practice Note: Retirement options—DC members. Pre-6 April 2015 pension payment options Until 5 April 2015, a DC member’s pension pot could be applied to deliver one of the following pension payments: scheme pension — a ‘scheme pension’ is either a pension paid straight from the scheme’s own funds by the scheme administrator, or a pension arranged with an insurance company selected by the scheme administrator. DC occupational pension schemes and personal pension schemes did not usually make a scheme pension available...

Original news Mr T (CAS-64304-R5R1)—14 April 2025 Summary The Pensions Ombudsman dismissed a complaint concerning the distribution of death benefits from a pension scheme. It concluded the scheme administrator’s decision was reasonable, neither irrational nor perverse. The complainant was not named in a supposed will—which was invalid as it lacked witnesses—and was the sole beneficiary of the late member’s estate. Before deciding, the administrator carried out extensive enquiries. This outcome serves as a reminder that trustees and administrators of pension schemes should undertake appropriate enquiries when determining death benefit payments. What were the facts? Mr S was a member of the AJ Bell You Invest Self invested Personal Pension Plan (the Scheme). Following his death, he was survived by, among others, Mr T. Mr T had entered into a civil partnership with Mr S...

Original news Mr Y (CAS-57893-P0C6)—20 August 2025 / Ms R (CAS-58612-P1X1)—18 July 2025 Summary The Pensions Ombudsman dismissed a complaint concerning a loan note investment. The scheme’s independent trustee bore no responsibility for losses arising from this high-risk, speculative asset. The complainants had completed forms confirming the trustee was not giving investment advice and could not be held accountable for any investment loss. The arrangement ran on an execution-only basis. The trustee also undertook appropriate due diligence before proceeding. In light of these factors, no liability ultimately attached to the trustee for the loan note loss. The determination highlights the perils of placing funds into non-standard investments. Accordingly, the complaint failed. What were the facts? Ms R and Mr Y were members of the Westerby Pension Scheme (the Scheme). The Scheme was a self-directed, self-invested personal pension (SIPP) scheme. Westerby Trustee Services Limited (Westerby) was the Scheme’s independent trustee and administrator...

Summary The DPO dismissed a grievance concerning a pension transfer. The move occurred within the six‑month statutory window and there were no undue delays. The scheme undertook checks required by HMRC on the receiving arrangement, with those verifications in place to protect members’ interests. The complainant declined an option to proceed without the checks. This determination serves as a reminder that scheme members should avoid causing unjustified delay to a transfer at any stage... What were the facts? Mr E was a member of the HSBC Bank (UK) Pension Scheme (the Scheme), administered by Willis Towers Watson (WTW). Mr E wished to transfer his Scheme benefits to a personal pension arrangement...

Sound administration underpins the smooth operation of a pension scheme and the delivery of good member outcomes, not least because administrators are typically members’ first port of call; consequently, their effectiveness, consistency and accuracy indeed strongly influence member experience and results. In short, administration counts because it is the usual locus of pension governance, safeguarding data accuracy, regulatory compliance and correct member outcomes being delivered on a consistent basis. What is a scheme administrator? For the purposes of this Practice Note, ‘scheme administrator’ means the individual or entity that supports the scheme’s day-to-day running by planning, managing and performing its administrative tasks. This can be an external provider, a dedicated internal team within the employer and/or the employer’s human resources or finance functions and departments. This usage is different from the ‘scheme administrator’ in Part 4 of the Finance Act 2004 (FA 2004), denoting the person or persons who ensure the scheme meets FA 2004 requirements in full. In practice, that statutory capacity is...

This Practice Note outlines: the various forms of share security the principal enforcement options available to security holders practical factors for security holders when choosing appropriate enforcement mechanics further considerations for security holders depending on the context Forms of share security There are three primary categories of security that can be created over shares: (a) a charge, (b) a legal mortgage and (c) an equitable mortgage, each considered below. Historically, a pledge over shares was also possible. A pledge involves delivering possession of an asset as security for the repayment of a monetary debt. This was feasible where bearer shares existed. However, from 26 May 2015, under section 779 of the Companies Act 2006, companies have been prohibited from issuing bearer shares. Holders of bearer shares were granted until 26 February 2016 to surrender them and convert into registered shares (for further information, see News Analysis: Bearer shares—how to avoid a grizzly ending). Charge A charge arises from...

This Practice Note explores the issues that may arise when the sponsoring employer(s) of a pension scheme becomes the subject of a ‘pre-packaged administration’ (also referred to as a pre-pack administration or simply a ‘pre-pack’). Pre-packs involve selling an insolvent company’s business and/or assets under terms negotiated and settled before the company enters administration, with completion taking place straight after the administrator’s appointment or very soon after. What is an administration? An administration is an insolvency procedure intended to promote, where possible, the rescue of companies in financial distress (or at least their underlying businesses) and to avoid the necessity of liquidation if at all possible. First introduced in 1986, administrators—who are a type of insolvency practitioner—have powers to oversee administrations. The ambit of administration was expanded in 2003 to further encourage a ‘rescue culture’. Reforms included an automatic moratorium preventing enforcement of security and certain other creditor actions without the administrator’s consent or the court’s leave. From a pensions standpoint, a key point is that appointing an...