FOI reference - FOI-348
Date - 9 February 2025
Request
The DWP have announced that your agency has been requested to do more research on the extent of discretionary awards for defined benefit (DB) pensions in payment made by Trustees/Employer Sponsors.
I would like to see the exact questions being asked as I understand this new Survey is in hand with results to be announced in the Spring. The period would be whatever time period is stipulated in the Survey but to be meaningful is likely to be at least the last 10 to 15 years if possible.
Response
I confirm that we hold the information you have requested.
Our 2024 DB Schemes Survey about discretionary benefits paid by DB schemes was conducted in September 2024, comprising telephone interviews with 200 DB and hybrid schemes. The interviews were conducted with scheme trustees.
The survey questions on discretionary benefits were as follows:
Q1. Do the scheme rules allow the provision of these discretionary benefits, such as discretionary pension increases?
Q2. Do these discretionary benefits:
- Require both trustee and employer consent
- Just require trustee consent
- Don’t know
Q3. Which of the following discretionary benefits have been provided in the last three years?
- Discretionary pension increases relating to pre-1997 service (including any increase above those provided for in the scheme rules)
- Other discretionary pension increases not related to pre-1997 service (including any increase above those provided for in the scheme rules)
- Preferential early retirement terms for multiple members
- One-off payments or benefit uplifts for multiple members
- Any other discretionary benefits provided to multiple members – please specify
- None
- Don’t know
The results of the survey will be published in due course on the Research and Analysis page of our website.