The Pensions Regulator will increase intervention between the triennial valuations of defined benefit schemes on a “risk based” approach, TPR CEO Lesley Titcomb has said.

Speaking at the Association of Member Nominated Trustee summer conference today, 20 June 2018, Titcomb said that it will intervene “more frequently and intensity” depending on how risky the scheme is, and will stop just engaging at the point of the triennial valuation.

Titcomb added that they would be increasing the range of regulatory tools and techniques over the next few months in order to improve engagement with schemes and protect members and the Pensions Protection Fund (PPF).

She said: “We will be increasing the level of oversight between the valuation of DB schemes and not just engaging at the point of triannual valuation and deciding whether to open a case.

“The frequency and intensity [of intervening] will vary according to how risky the scheme is. For example if it’s one of the biggest highest risk schemes we are likely to be in regular contact with trustees and employers to find out what is happening and make sure the trustee has funding objectives.”

Depending on the risk, TPR said it will be in touch “several times a year” in order to understand the issues.

Schemes who are considered a lower risk can expect to be contacted annually.

“Obviously it is not sustainable to do that for all 5,800 DB schemes or 40,000 DC schemes, these things will have to be risked based, so we will have frequent contact, but less [contact] the further down," Titcomb added.

The regulator has welcomed the proposed changes laid out in the DB white paper and said it is working with government to implement them “as quickly as possible”.

Last month, TPR estimated that defined benefit schemes in tranche 13, with valuations between September 2017 and September 2018, are likely to see an increase in their liabilities since their last valuation.

“The changes in market conditions mean that deficits on a technical provisions (TP) basis for the DB universe will be marginally better based at March 2018 relative to March 2015. This analysis may not be representative of individual schemes whose assets and liabilities will depend on many scheme-specific factors,” it said.

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