The Occupational Pension Schemes (Charges and Governance) Regulations 2015

Member agreement for services

9.—(1) Subject to paragraph (3), the restrictions in regulation 4 do not apply in relation to a service for which the member has entered into an agreement with a person for the provision of that service, provided the conditions in paragraph (2) are satisfied.

(2) The conditions referred to in paragraph (1) are that the agreement must—

(a) be in writing; and

(b) include a statement that entering into the agreement—

(i) is not a condition of becoming or remaining a member of a relevant scheme;

(ii) is not a condition of the member’s contributions being allocated under a default arrangement; and

(iii) will incur charges at a rate or of an amount specified in the agreement and that such charges may be higher than would otherwise be permitted under these Regulations;

(c) be entered into before the charges are imposed.

(3) This regulation does not apply to a service which—

(a) the provider is under a statutory obligation to provide; or

(b) is a core service.

(4) In this regulation “core service” includes (but is not limited to)—

(a) designing and implementing an investment strategy;

(b) investment of contributions to the scheme;

(c) holding investments relating to scheme members;

(d) a transfer out of a default arrangement into a different arrangement, fund or scheme;

(e) a transfer into a default arrangement.