The Pensions Administration Standards Association (PASA), the independent body dedicated to driving up standards in pensions administration, has urged pension scheme administrators to make their voices heard.
Margaret Snowdon OBE (pictured), Chairman of PASA, says: “It has long been seen in the pensions industry that scheme administrators are undervalued but there is a duty on them to change this and take their place at the table alongside the managers and advisers. Making their voices and opinions heard at the trustee meetings, will, ultimately, go a long way to improving not only administration but the strengths of the relationships with the schemes. It is even more significant when you consider how prevalent administration issues are at the moment – data security, GMP reconciliations, the complexities around the freedoms including the potential for scamming etc. It’s a minefield for schemes, a minefield that could be very costly. Good administrators can help trustees navigate through it.
Snowdon adds: “However, there is an onus on administrators to take responsibility for making sure that the trustees they engage with, whether from an administration, adviser, manager or other professional point of view, have faith in them and their understanding of current issues, future changes and everyday business as usual. This will enable trustees to understand how important administration is. Once this happens, trustees will be able to see what good administration looks like, and indeed the consequences of poor administration. This would not only lead to a more effective and sophisticated administration process for schemes but could also give the administrators the same footing as trusted advisor enjoyed by scheme consultants.”
