TPO review to include AEAT recommendations; wider powers 'beyond' DWP's remit

Pensions Minister, Paul Maynard, has said that next year’s independent review of The Pensions Ombudsman (TPO) could provide an opportunity to look at recommendations to review its arrangements to ensure pension savers have an adequate route of appeal.

The Work and Pensions Committee (WPC) previously wrote to then-Pension Minister, Laura Trott, to ask the government to reconsider the Public Account Committee's (PAC) recent recommendations on the AEA Technology (AEAT) Pension Case.

MPs previously urged the government to show what more it will do to help people make informed financial decisions and have appropriate routes of appeal, after the PAC highlighted the case of the AEAT scheme as “another case of government not giving people enough time or support to make complex financial decisions”.

In his response, the new minister confirmed that the government still agrees with the PAC recommendation that it should review ombudsman arrangements to ensure that all aspects of people’s interactions with their pensions have an adequate route of appeal.

He stated: "TPO can already consider complaints regarding the Government Actuaries Department (GAD) that fall within his jurisdiction.

"The legislation governing TPO was changed in 2004 to allow the consideration of complaints about persons undertaking an act of administration concerned with a scheme, such as GAD might provide, in addition to complaints about persons directly concerned with the administration of a scheme.

"This legislative change does not apply retrospectively, or override statutory time limits, so does not encompass complaints about the information provided by GAD in 1996. It does, however, provide a wider route of appeal for complaints about GAD, providing they meet other jurisdiction criteria for TPO."

Maynard suggested that next year’s independent review will also provide an opportunity to look at this recommendation in respect of the ombudsman.

However, he said that wider ombudsman powers are "a complex issue that goes beyond Department for Work and Pensions' (DWP) remit".

Given this, he confirmed that he has asked DWP officials to engage Cabinet Office to provide an update on the wider picture, outside the DWP's portfolio, and understand the considerations that may have been made in this area on the committee’s concerns.



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