Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, if she will take steps to encourage early re-evaluations of pension schemes in response to rising inflation and rising costs of living.

The Department does not assess the funding of individual defined benefit pension schemes. Trustees are required to undertake actuarial valuations at least every three years and agree an appropriate recovery plan where there is a funding deficit. Trustees can undertake valuations more frequently to assess a scheme’s funding position in the light of economic changes. The UK has a robust regime for the funding of defined benefit pension schemes, which effectively balances member security and employer affordability. Provisions in the Pensions Act 2021 will strengthen this regime by requiring trustees to have a funding and investment strategy to ensure pensions can be provided over the long term. The Pensions Regulator oversees the funding regime for defined benefit pension schemes and has statutory objectives to protect members’ benefits, and to minimise any adverse impact on the sustainable growth of the employer.