Regulator publishes transfer value guidance

The draft guidance is set for consultation and is aimed at helping DB scheme trustees understand and fulfil the new regulatory responsibilities the department for work and pensions is to introduce.

From October 1 it will be trustees’ responsibility to make sure the calculations of cash equivalent transfer values, such as calculating longevity, is done.

The regulator’s executive director Chris Dobson said: "We welcome industry views on our draft transfer value guidance.

"The guidance – being published ahead of the new transfer value legislation coming into force – explains the new duties for trustees in respect of transfer values, highlights the importance of collaborative working and outlines methods for calculation of transfer values."

The regulator said the guidance must be read in conjunction with the regulations and warned that it did not replace the regulations.

The six-week consultation period ends on September 19.