The Pensions Administration Standards Association (PASA) has launched a code of conduct on administration provider transfers to help raise standards in the industry.

The code is for ceding and newly-appointed administrators, and is also aimed at in-house administration teams and any other pensions administration provider.

The purpose of the code is to set out a framework to enhance the transfer of services between providers, outline the responsibilities and accountabilities of all participants and mitigate the potential for delays.

PASA said that the code does not extend to changes in administration systems, and that although it acknowledged that many of the same principles apply, this is something they will consider "in due course".

Margaret Snowdon OBE, PASA chair, said that pensions administration providers can be changed for a variety of reasons, such as mergers or acquisitions, provider performance, etc.

Snowdon continued: "Irrespective of the cause of the change PASA believes that the transition should be managed in a professional manner between the providers to ensure that the interests of the client and the scheme members remain paramount, that the transfer is not unnecessarily delayed, frustrated or rendered ineffective and that service to members can be maintained."

She added: "The launch of this code marks another milestone for PASA."

PASA worked closely with The Pensions Regulator (TPW) to produce the code.

Andrew Warwick-Thompson, TPR executive director for defined contribution, governance and administration, said: "We welcome industry initiatives such as this and are pleased that PASA have engaged us as they have drafted their code for the efficient transfer of administration functions and records between providers."

First published 24.05.2013

monique_simpson@wilmington.co.uk