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Home / PENSIONS-LAW · Module 2: Pensions Law, Regulation and Scheme Design / Unit 2.2: The Pensions Regulator, Internal Controls and Disputes

APT·PENSIONS-LAW · Module 2: Pensions Law, Regulation and Scheme Design·UnitPENSIONS-LAW · Unit 02Access: Premium

Unit 2.2: The Pensions Regulator, Internal Controls and Disputes

Unit 2.2 covers oversight, both the trustees’ own and the regulator’s. It takes in the internal dispute resolution procedure a scheme has to operate and the route a member takes to the Pensions Ombudsman when the outcome does not satisfy them, the internal controls and administrative standards trustees are expected to maintain, and the role, objectives and powers of The Pensions Regulator, including its codes of practice and the situations in which trustees have to report to it. Knowing which body does what, and where a trustee’s own responsibility ends, is the point of this unit.

Questions
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Topics
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What’s in it.

3 topics
  • Topic 01

    Disputes Resolution

    44 questions
  • Topic 02

    Internal Controls and Sound Administration

    45 questions
  • Topic 03

    The Pensions Regulator

    44 questions

Sample questions

3 of many

A few questions from this unit, with the answer and a full explanation. The complete bank is available when you start practising.

  1. What phrase has TPR historically used to summarise its regulatory approach?

    • "Complaints first, action later"
    • "Light touch, no touch"
    • "Guidance only, never enforcement"
    • "Clear, quick and tough"
      Correct answer
    Explanation

    TPR has historically summarised its approach as "clear, quick and tough": setting clear expectations, acting promptly on emerging risk, and enforcing robustly where schemes or employers fall short. Key takeaway: "clear, quick and tough" is TPR's own historic shorthand for setting expectations, acting early, and enforcing firmly.

  2. What does TPR's automatic enrolment compliance objective require it to maximise?

    • Compliance with automatic enrolment duties on employers under the 2008 Act
      Correct answer
    • The level of employer contributions paid into occupational DB schemes
    • The number of members who opt out of automatic enrolment
    • The number of schemes assessed under the own risk assessment regime
    Explanation

    TPR's automatic enrolment compliance objective requires it to maximise compliance with the automatic enrolment duties imposed on employers by the Pensions Act 2008, reflecting TPR's role as the enforcement body for those duties. Key takeaway: the objective is about employer compliance with auto-enrolment duties specifically, not opt-out rates or unrelated enforcement statistics.

  3. A candidate notes that the Pensions Act 2004 received royal assent in 2004, but is unsure whether TPR itself started regulating schemes that same year. When did TPR actually become operational?

    • 2006, two years after the Pensions Act 2004 was passed
    • 2021, when the Pension Schemes Act 2021 was passed
    • 2005, the year after the Pensions Act 2004 was passed
      Correct answer
    • 1995, when the Pensions Act 1995 was passed
    Explanation

    Although the Pensions Act 2004 was passed in 2004, TPR itself became operational on 6 April 2005, the following year, replacing OPRA at that point. Key takeaway: there is a gap between an Act's passage and the regulator's actual operational start date.