The Financial Reporting Council (FRC) has launched a consultation on proposed amendments to its Technical Actuarial Standard (TAS) 310 to ensure the framework underpinning collective defined contribution (CDC) pension schemes remains fit for purpose as the market expands.

The consultation follows recent legislation enabling multiple unconnected employers to participate in a single collective money purchase arrangement, a move designed to widen access to CDC-style pensions for UK workers.

The FRC said the proposed revisions responded to the additional actuarial considerations created by these new multi-employer structures, particularly in supporting trustees and scheme proprietors to ensure fairness between different employers and member groups

TAS 310 was first published in 2024 to support trust and stability in CDC schemes.

The updated version, TAS 310 v1.1, introduces new requirements around 'actuarial equivalence', reflecting legislative changes that require the expected value of benefits accrued in a scheme to be actuarially equivalent to the value of contributions paid.

The FRC said the changes were intended to provide actuaries with a clear and up-to-date framework for this emerging area of the pensions landscape, while continuing to support high-quality actuarial analysis and informed decision-making

Under the proposals, actuaries would be required to consider and communicate the impact of scheme design choices on potential cross-subsidies between employers and members, helping decision-makers understand whether such outcomes were intended and acceptable.

The revised standard also reflected the new regulatory regime for unconnected multi-employer CDC schemes, which will take effect later this year.

Commenting on the consultation, FRC executive director of regulatory standards, Mark Babington, stressed that high-quality actuarial work was "fundamental" to maintaining investor confidence in UK pension schemes.

"These revisions to TAS 310 ensure that as CDC schemes evolve to serve more employers and members, the standards underpinning them keep pace," he argued.

"This supports informed decision-making and reinforces the UK’s reputation for well-regulated pension provision.”

The consultation closes on 23 March 2026, and subject to feedback, the revised standard is intended to take effect on 31 July 2026, aligning with the effective date of the new regime for unconnected multi-employer CDC schemes.

At the end of last year, The Pensions Regulator (TPR) also launched a consultation on its revised CDC code of practice, which sets out the criteria for authorisation, TPR’s expectations of multi-employer CDC schemes, and how it will use its powers to support this new innovation to market.

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