Senior figures from the Department for Work and Pensions (DWP) and The Pensions Regulator (TPR) have emphasised the growing importance of trustee decision-making and governance standards as the Pensions Schemes Bill (PSB) reshapes the defined benefit (DB) landscape.

Speaking at the Association of Member Nominated Trustees (AMNT) Annual Conference, DWP deputy director of the DB policy division, Sam Hainsworth, emphasised that the measures set out in the PSB would have “significant impacts for trustees”.

“It offers them an opportunity to deliver for members but also comes with more responsibilities,” she warned, stressing that the framework has trustees "right at the centre" of it, acting in the interests of beneficiaries.

"The implementation is really important. Trustees are vital to all the choices within the bill and to the pension system,” she added.

Hainsworth also pointed to a changing trustee landscape, with a continued rise in professional trustees, clarifying that whilst this brings additional skills and expertise, it also introduces a different set of risks.

With this in mind, she confirmed that the DWP would consult later this year on trustee governance in line with the PSB, to consider whether existing standards and TPR oversight go far enough - particularly in areas such as accreditation and administration.

Echoing these comments, TPR interim director of pensions reform, Patrick Coyne, stressed that trustees must continue to act in members’ best interests and that documenting decision-making had become increasingly important as the market evolves and new actors enter the marketplace.

“The landscape is evolving, changing fast, with trustees being asked to make increasingly complex decisions,” he explained.

“Innovation, consolidation and choice are reshaping how we think about endgame for DB schemes.”

Coyne added that over the past year, TPR has expanded its engagement with the ten largest professional trustee firms to better understand how they make decisions.

Despite both figures highlighting the PSB as a positive opportunity for trustees, many have expressed concern over the government's proposed surplus reforms, with nearly two-fifths (39 per cent) of DB pension trustees holding mixed views on whether the plans would be in the best interests of scheme members, Standard Life research revealed.

The government's PSB aims to unlock DB surpluses to support member outcomes and encourage economic growth.

But when asked to what extent the current proposals were in the best interest of scheme members, the research found that only 32 per cent of DB trustees felt very or generally comfortable with the reforms, while 29 per cent had no opinion.

Meanwhile, the regulators' comments come as schemes continue to adjust to the new DB Funding Code, introduced in 2024, which has placed greater emphasis on long-term planning, documentation and governance.

Both regulators have repeatedly highlighted that effective trustee decision-making will be critical as schemes navigate endgame options, growing consolidation, and heightened regulatory expectations.

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