The STAR programme, backed by the regulators and the government, is the only cross industry solution bringing together platforms, providers, life companies, service providers and transfer / asset managers. The programme has galvanised the industry to create long-term solutions to improving customer experience of transferring pensions, savings and investments between companies, by setting and measuring against a good practice framework.
The Pensions Administration Standards Association (PASA), the independent body dedicated to driving up standards in pensions administration, recently unveiled details of its DC Transfer Working Group. Its scope will cover transfers between DC to DC arrangements; to Trust and Contract-based schemes, both UK and overseas.
STAR has joined the PASA DC Transfer Working Group at the early stages of the initiative. Transfers between trust-based DC schemes are a key and growing part of PASA’s remit, so the formation of a DC Transfer Working Group, with a key objective of driving improvement in this area is an obvious move. The time taken, and the processes followed, vary hugely, with a resulting detrimental impact on the service offered to consumers, and the trust placed in the trust-based DC community.
Participation on the Working Group will ensure that the initiatives complement each other and there are clear differences:
- STAR is the accreditation of companies
- PASA is aiming to define high level best practice
- STAR covers all products – ISA/GIA, Occupational Pensions, SIPP/PPP and Fund Managers
- PASA will limit any work to DC Pensions
- STAR is monitoring and reporting on how companies are performing and PASA is not
In addition, collaboration will help PASA members understand STAR reporting requirements.
Kim Gubler, PASA Chair
“We welcome STAR representation on the working group. It is important that the schemes complement one another. We look forward to working towards a shared goal of improving the consumer experience.”
Andrew Marker, Head of Retail Pensions, Vanguard and STAR Chair
“STAR is a voluntary framework and due to the significant organisations participating, represents a significant cross section of the financial services industry. We are delighted to be represented on the PASA Working Group and help PASA members understand STAR reporting requirements. We look forward to collaborating.”