Scheme size

In the Pension Regulator’s governance survey (May 2014), large schemes were more likely to see themselves as very effective than small and medium ones. The Regulator found that small trust-based schemes are less likely to have established governance systems and, in some cases lay trustees “struggled to understand” the full implications of scheme quality features promoted by the regulator and were “heavily reliant on advice and relationships with advisers” (www.thepensionsregulator.gov.uk/docs/dc-data-report-summary-2013.PDF). Larger schemes could have advantages but there are some concerns about master trust schemes (see page 81).