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GMP Guidance

Phase one of the PASA Guidance on GMP reconciliations was launched on 19th January 2016. The time left to act before the cessation of contracting out is beginning to run short and there is increasing pressure to analyse what needs to be done, and to plan and deliver this work. PASA believes that it is vital, given the scale and complexity of the task of reconciling and rectifying contracted-out benefits, that schemes are supported in taking a pragmatic, cost-effective approach, which is also consistent with trustee duties. We have therefore developed the Guidance to support Schemes as they seek to develop their own  scheme-specific strategy in response to the requirements.

PASA launched further Guidance in February 2016. The latest phase of the Guidance starts with the link between reconciliation and rectification, and covers the support and information that trustees should expect from their administrator. It also considers whether there is a role for tolerance and how this differs between underpayments and overpayments, as well as possible member defences to recovery.