Current Issues - February 2026

Please see excerpts below from this month's Current Issues. Click here to read the full publication. 

Beep-beep, VfM-VfM

The Financial Conduct Authority (FCA), working with the Pensions Regulator and the Department for Work and Pensions (DWP), has published consultation paper, CP26/1, The Value for Money Framework: Response to Consultation, Further Consultation and Discussion Paper. The further consultation element covers the detailed rules for contract-based schemes and the issue for discussion is whether these rules are also suitable for trust-based arrangements.

A Grand affair—the Pension Schemes Bill

In January 2026, a Grand Committee of the House of Lords began its scrutiny of the Pensions Schemes Bill. In this article we take a canter through the five days’ worth of proceedings (so far).

Prepping for private-sector dashboards

The Pensions Dashboards Programme (PDP) is seeking views on a proposed approach that would see it collaborate with the industry to support the development of private-sector dashboards (PSDs).

Death & (pensions) taxes

On 13 January 2026, the House of Commons debated the pensions inheritance tax (IHT) aspects of the Finance (No. 2) Bill 2024/26, during its Committee Stage. The IHT clauses were challenged, but remained part of the Bill following a vote. Various attempts to force the Government to produce assessments, conduct consultations and publish guidance (within six months) failed.

Navigating Virgin territory

The Financial Reporting Council (FRC) has published guidance for actuaries who are asked, under provisions included in the current Pension Schemes Bill, to confirm whether (in the actuary’s opinion) a historical alteration to the rules of a contracted-out defined-benefit (DB) scheme would have prevented it from continuing to meet the associated statutory conditions. The FRC’s message is generally that it’s possible to take a pragmatic and proportionate approach to the undertaking.

ARGA-naught

The Government has shelved a plan to establish a statutory basis for the regulation of the actuarial profession.

In 2019, amid the fall-out from the insolvency of the Carillion group and other companies, the Conservative Government announced that it would replace the FRC with a new statutory regulator, which it dubbed the Audit, Reporting and Governance Authority (ARGA). As part of that revamp, the FRC’s role as overseer of the actuarial profession was to be placed on a statutory footing. The King’s Speech in 2024 included the current Labour Government’s intention to bring forward an Audit Reform and Corporate Governance Bill.

HMRC newsletters: January 2026

Pension Schemes Newsletter 177, from His Majesty's Revenue and Customs (HMRC), has articles for non-UK-resident scheme administrators (who will have to become UK-resident by 6 April 2026, or exit the scene), administrators and practitioners interested in joining a research panel on the forthcoming process for assessing 
and paying pensions-related inheritance tax, and administrators of relief-at-source schemes. There are also some statistics on the (c. £46m worth of) tax refunds made from October – December 2025 related to defined contribution ‘pensions flexibility’ payments.

Read the full edition here

If you have any questions or would like to discuss further, please get in touch. 

This communication has been compiled by Hymans Robertson LLP® (HR) as a general information summary and is based on its understanding of events as at the date of publication, which may be subject to change. It is not to be relied upon for investment or financial decisions and is not a substitute for professional advice (including for legal, investment or tax advice) on specific circumstances. HR accepts no liability for errors or omissions or reliance on any statement or opinion. Where we have relied upon data provided by third parties, reasonable care has been taken to assess its accuracy however we provide no guarantee and accept no liability in respect of any errors made by any third party.