ICAS ICAS logo

Quicklinks

  1. About Us

    Find out about who we are and what we do here at ICAS.

  2. Find a CA

    Search our directory of individual CAs and Member organisations by name, location and professional criteria.

  3. CA Magazine

    View the latest issues of the dedicated magazine for ICAS Chartered Accountants.

  4. Contact Us

    Get in touch with ICAS by phone, email or post, with dedicated contacts for Members, Students and firms.

Login
  • Annual renewal
  • About us
  • Contact us
  • Find a CA
  1. About us
    1. Governance
  2. Members
    1. Become a member
    2. Newly qualified
    3. Manage my membership
    4. Benefits of membership
    5. Careers support
    6. Mentoring
    7. CA Wellbeing
    8. More for Members
    9. Area networks
    10. International communities
    11. Get involved
    12. Top Young CAs
    13. Career breaks
    14. ICAS podcast
    15. Newly admitted members 2022
    16. Newly admitted members 2023
  3. CA Students
    1. Student information
    2. Student resources
    3. Learning requirements
    4. Learning updates
    5. Learning blog
    6. Totum Pro | Student discount card
    7. CA Student wellbeing
  4. Become a CA
    1. How to become a CA
    2. Routes to becoming a CA
    3. CA Stories
    4. Find a training agreement
    5. Why become a CA
    6. Qualification information
    7. University exemptions
  5. Employers
    1. Become an Authorised Training Office
    2. Resources for Authorised Training Offices
    3. Professional entry
    4. Apprenticeships
  6. Find a CA
  7. ICAS events
    1. CA Summit
  8. CA magazine
  9. Insight
    1. Finance + Trust
    2. Finance + Technology
    3. Finance + EDI
    4. Finance + Mental Fitness
    5. Finance + Leadership
    6. Finance + Sustainability
  10. Professional resources
    1. Anti-money laundering
    2. Audit and assurance
    3. Brexit
    4. Business and governance
    5. Charities
    6. Coronavirus
    7. Corporate and financial reporting
    8. Cyber security
    9. Ethics
    10. Insolvency
    11. ICAS Research
    12. Pensions
    13. Practice
    14. Public sector
    15. Sustainability
    16. Tax
  11. CPD - professional development
    1. CPD courses and qualifications
    2. CPD news and updates
    3. CPD support and advice
  12. Regulation
    1. Complaints and sanctions
    2. Regulatory authorisations
    3. Guidance and help sheets
    4. Regulatory monitoring
  13. CA jobs
    1. CA jobs partner: Rutherford Cross
    2. Resources for your job search
    3. Advertise with CA jobs
    4. Hays | A Trusted ICAS CA Jobs Partner
    5. Azets | What's your ambition?
  14. Work at ICAS
    1. Business centres
    2. Meet our team
    3. Benefits
    4. Vacancies
    5. Imagine your career at ICAS
  15. Contact us
    1. Technical and regulation queries
    2. ICAS logo request

PRAG publishes addendum to the Pensions SORP on investment disclosures

  • LinkedIn (opens new window)
  • Twitter (opens new window)
By Christine Scott, Head of Charities and Pensions

7 April 2021

The Pensions Research Accountants Group (PRAG) has published an addendum to the Pensions SORP on revised investment disclosure requirements in pension scheme annual reports.

The purpose of addendum is to bring these additional requirements to the attention of pension scheme accounts preparers. Pension scheme auditors should also find the addendum helpful.

The addendum refers to matters to be dealt with within the narrative elements of pension scheme annual reports. Its content does not impact on the requirements, within the Pensions SORP, which apply to pension scheme financial statements.

More about the addendum

Recently implemented investment regulations include disclosure requirements for certain pension schemes, which must be met within their annual report, in relation to:

  • The Statement of Investment Principles (SIP)
  • The Implementation Statement
  • Disclosures in the investment report

It is difficult to interpret the purpose of certain duplicated disclosure requirements within these documents. Therefore, the addendum has been provided on a factual basis to raise awareness of the regulations and their requirements.

The addendum is available to PRAG members via the member zone of the PRAG website.

About implementation statements

Implementation statement prepared by Defined Benefit (DB) schemes must set out how and the extent to which the scheme’s policies on stewardship have been followed during the scheme’s financial year.

Implementation statements prepared by Defined Contribution (DC) schemes must:

  • Set out how and the extent to which the scheme’s SIP has been followed during the scheme’s financial year.
  • Describe any formal review of the SIP undertaken during the year and any review of how the SIP has been met.
  • Explain any changes made to the SIP during the scheme year and the reason for any changes.
  • Provide the date of the last formal review of the SIP, if such a review has not been undertaken during the year.

Both DB and DC schemes must also describe voting behaviour by, or on behalf of, its trustees during the scheme’s financial year, disclosing the use of the services of a proxy voter where relevant.

ICAS comments to DWP on investment reporting requirements

In its recent response to the DWP’s proposals on climate governance and climate reporting requirements for pension schemes, the ICAS Pensions Panel raised concerns about the complexity of investment reporting requirements.

Some investment reporting requirements must be met within pension scheme annual reports, with some aspects to be made public, yet there is no requirement for pension schemes to file or to make their entire annual report public, including their financial statements.

In the case of the Taskforce on Climate-related Financial Disclosures (TCFD reports), the requirement will be for a scheme’s annual report to carry a link to where the TCFD report is publicly available.

We believe there is scope for reviewing the investment reporting requirements placed on pension schemes to determine if they are fit for purpose, including the approach to requiring some investment information to be included within scheme annual reports.

The regulations underpinning the investment reporting requirements which have evolved over time are complex and difficult to interpret.

Proposed guidance for pension schemes on climate change governance and reporting

By Christine Scott, Head of Charities and Pensions

7 April 2021

New Pensions SORP comes into force

By Liz Duffy, Policy Adviser, Pensions and Christine Scott, Head of Charities and Pensions

20 February 2019

2-23-marsh 2-23-marsh
ICAS logo

Footer links

  • Contact us
  • Terms and conditions
  • Modern slavery statement
  • Privacy notice
  • CA magazine

Connect with ICAS

  • Facebook (opens new window) Facebook Icon
  • Twitter (opens new window) Twitter Icon
  • LinkedIn (opens new window) LinkedIn Icon
  • Instagram (opens new window) Instagram Icon

ICAS is a member of the following bodies

  • Consultative Committee of Accountancy Bodies (opens new window) Consultative Committee of Accountancy Bodies logo
  • Chartered Accountants Worldwide (opens new window) Chartered Accountants Worldwide logo
  • Global Accounting Alliance (opens new window) Global Accounting Alliance
  • International Federation of Accountants (opens new window) IFAC
  • Access Accountancy (opens new window) Access Acountancy

Charities

  • ICAS Foundation (opens new window) ICAS Foundation
  • SCABA (opens new window) scaba

Accreditations

  • ISO 9001 - RGB (opens new window)
© ICAS 2022

The mark and designation “CA” is a registered trade mark of The Institute of Chartered Accountants of Scotland (ICAS), and is available for use in the UK and EU only to members of ICAS. If you are not a member of ICAS, you should not use the “CA” mark and designation in the UK or EU in relation to accountancy, tax or insolvency services. The mark and designation “Chartered Accountant” is a registered trade mark of ICAS, the Institute of Chartered Accountants of England and Wales and Chartered Accountants Ireland. If you are not a member of one of these organisations, you should not use the “Chartered Accountant” mark and designation in the UK or EU in relation to these services. Further restrictions on the use of these marks also apply where you are a member.

ICAS logo

Our cookie policy

ICAS.com uses cookies which are essential for our website to work. We would also like to use analytical cookies to help us improve our website and your user experience. Any data collected is anonymised. Please have a look at the further information in our cookie policy and confirm if you are happy for us to use analytical cookies: