The Pensions Regulator (TPR) published analysis of occupational defined contribution (DC) scheme returns showing that millions of savers now have access to in-scheme retirement options, particularly drawdown, and warned that smaller schemes are lagging ahead of the guided retirement duty proposed in the Pension Schemes Bill. TPR found 13.4 million members are offered drawdown at retirement, with 86% of the largest schemes offering at least one retirement income option. By contrast, only 46% of small schemes offer any decumulation product and around two fifths of schemes offer none at all; 43% of members, representing 16% of schemes, can access drawdown without leaving their scheme. The shift towards in-scheme drawdown is largely attributed to the growth of master trusts, and TPR urged trustees to review their retirement offering, begin designing decumulation products, or consider consolidation where they cannot support members into appropriate retirement options. TPR indicated it is working with government and industry as the guided retirement duty takes shape, which is expected to require schemes to provide default retirement solutions and improved support when savers access their pension.
The Pensions Regulator 2026-03-05
The Pensions Regulator urges smaller DC schemes to add decumulation options or consolidate as 13.4 million members are offered drawdown
The Pensions Regulator (TPR) released an analysis of occupational defined contribution scheme returns, noting that 86% of large schemes offer retirement income options like drawdown, compared to only 46% of small schemes. TPR attributes the shift towards in-scheme drawdown to the growth of master trusts and urges trustees to enhance retirement offerings or consider consolidation. TPR is collaborating with the government and industry on the guided retirement duty, mandating default retirement solutions and better support for savers.