1 EU – IORP II text finalised – The new IORP Directive has now been finalised and is expected to come into force by the end of this year. EU Member States will have two years to implement the directive, which contains new governance and disclosure requirements, relaxes the funding requirements for cross-border schemes and increases member protection on cross-border transfers. It is possible that these requirements will still be implemented in the UK despite Brexit.
Action: Review the new requirements and consider the implications for your plan. Read more.
2 France – Supplementary pensions could be exempt from Solvency II – The government is proposing to exempt supplementary pensions from Solvency II capital requirements under a new omnibus bill, Sapin II. To achieve this, insurers will be permitted to transfer supplementary pensions into a new legal entity, which will take the form of an institution for occupational retirement provision (IORP). According to official estimates, 130bn of assets should be eligible for this.