2019 could well be remembered as a year of significant change in the way that UK pension schemes are governed.

The next few months are likely to see developments leading to a sea-change that will affect the way that schemes are governed, and the individuals tasked with performing that role.

The new accreditation regime for professional trustees is due to take effect from 1 July. For the first time, participating professional trustees will be subject to a regulatory regime designed to recognise formal standards of conduct.

Also, in the very near future, The Pensions Regulator (TPR) is set to issue a comprehensive consultation document on the future of trusteeship in the UK.

We can at this stage only speculate as to precisely what TPR is seeking to learn, but its determination to drive up standards among trustees is surely to be a significant theme.

There has been a view for some time that TPR is concerned about the difficulties faced by boards of small schemes in achieving high standards of governance and that the regulator might be considering ways of pressuring smaller schemes to improve.

This is consistent with a persistent rumour that TPR might suggest that a professional trustee should be appointed to the board of every registered scheme.

The costs of making such an appointment would be beyond the budget of almost all small schemes and would therefore act as a driver towards consolidation or wind up.

The next few weeks may prove to be a period of seismic change for scheme governance. Trustees in particular live in interesting times.

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