The Financial Reporting Council (FRC) has today published Technical Actuarial Guidance: Confirmation under sections 101 and 105 of the Pension Schemes Act 2026. This is aimed at pension scheme actuaries asked to provide retrospective confirmation that it is reasonable to conclude that pension scheme amendments would not have prevented the reference scheme test (RST) being met. It applies where past alterations were made to contracted-out salary-related pension schemes where the original written actuarial confirmation cannot be found.
The guidance is designed to support scheme actuaries in considering whether they can provide any confirmation requested under the new remediation provisions contained in the forthcoming Pension Schemes Act 2026, which is expected to come into force in the next few months.
The guidance sets out examples of evidence that actuaries may rely on when providing confirmation and includes examples of scenarios where confirmation is likely to be straightforward, as well as cases where confirmation may not be possible without further evidence.
In most circumstances, the new requirements are expected to allow schemes to use the actuarial route to retrospectively validate historic deeds where the original certificate is missing. While detailed calculations will not usually be required, input may be needed from trustees, sponsoring employers and legal advisers to provide supporting information.
The guidance also recognises that, in some cases, confirmation may not be possible without detailed calculations or where relevant data no longer exists. Alternative solutions will be required in these situations.
The final section of the guidance addresses ethical matters and has been provided by the Institute and Faculty of Actuaries’ Regulatory Board.
