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This Regulatory Impact Assessment considers the impact of a Statutory Rule that enables multiple unconnected employers to participate in Collective Money Purchase (CMP) pension schemes. CMP schemes pool employer and member contributions into a collective fund to provide a target level of retirement benefits and have previously been limited to single employers or connected employer groups.
The Occupational Pension Schemes (Collective Money Purchase Schemes) (Extension to Unconnected Multiple Employer Schemes and Miscellaneous Provisions) Regulations (Northern Ireland) 2026 remove this restriction and establish a framework for unconnected multi-employer CMP schemes.
The Rule introduces a robust authorisation and supervisory regime for unconnected multi-employer CMP schemes, requiring schemes to be approved by the Pensions Regulator before operating and to meet enhanced criteria on design, financial sustainability, and governance, as well as central coordination by a scheme proprietor. The aim is to ensure effective regulatory oversight, member protection and market confidence, while enabling a wider range of employers to offer CMP schemes.
