MPs could grill potential TPR chair on LDI crisis
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Emma Douglas has emerged as the government’s preferred candidate for the role as chair of the Pensions Regulator, with a pre-appointment hearing by the Work and Pensions Committee scheduled for this week.
Douglas is currently wealth policy director at insurer Aviva and the non-executive chair of lobby group Pensions UK. Her pre-appointment hearing will take place on Wednesday morning.
In February 2025, Sarah Smart had announced her intention to end her five-year term early, in July 2025, for personal reasons, having chaired the regulator for four years. TPR board member Kirstin Baker has been interim chair since.
The Work and Pensions Committee highlights on its website that the regulator came under fire in the DB inquiry, when the committee stated that “two decades of regulatory policy caution have almost entirely destroyed the UK’s defined benefit system”.
In the 2024 DB inquiry report, MPs said TPR’s objective to protect the Pension Protection Fund should be replaced with an objective to protect future service benefits as well as past service benefits.
The current committee adds that according to its predecessors, TPR had failed to monitor the risk of “such investments”. These remain unspecified on the website but could refer to liability-driven investments, on which there was a separate inquiry following the 2022 'mini-Budget' and gilts panic, and a report in 2023.
“MPs on the committee could ask the candidate to provide their own thoughts on the issue and lessons learned from the crisis,” the committee advised.
Douglas is currently wealth policy director at insurer Aviva and the non-executive chair of lobby group Pensions UK. Her pre-appointment hearing will take place on Wednesday morning.
In February 2025, Sarah Smart had announced her intention to end her five-year term early, in July 2025, for personal reasons, having chaired the regulator for four years. TPR board member Kirstin Baker has been interim chair since.
The Work and Pensions Committee highlights on its website that the regulator came under fire in the DB inquiry, when the committee stated that “two decades of regulatory policy caution have almost entirely destroyed the UK’s defined benefit system”.
In the 2024 DB inquiry report, MPs said TPR’s objective to protect the Pension Protection Fund should be replaced with an objective to protect future service benefits as well as past service benefits.
The current committee adds that according to its predecessors, TPR had failed to monitor the risk of “such investments”. These remain unspecified on the website but could refer to liability-driven investments, on which there was a separate inquiry following the 2022 'mini-Budget' and gilts panic, and a report in 2023.
“MPs on the committee could ask the candidate to provide their own thoughts on the issue and lessons learned from the crisis,” the committee advised.
The responsibilities of the new chair of TPR will include leading the board, maintaining a constructive working relationship with the Department for Work and Pensions, and reviewing the regulator’s strategic direction and alignment with government priorities. She will also need to support and motivate the chief executive and executive team whilst holding them to account.
The DWP was looking for someone with the ability to set strategic vision and a track record in senior leadership roles, including experience of regulation and the pension or wider financial services sector.
In July last year, pensions minister Torsten Bell apologised to the Work and Pensions Committee for not alerting MPs earlier of the recruitment campaign so they could plan their pre-appointment hearing accordingly.
If her appointment goes ahead, Douglas will receive £92,300 a year as TPR’s chair. In 2021, the time commitment was 104 days, for a salary of £73,840. It is understood that she would need to relinquish her role as chair of Pensions UK, which she has held since October 2021, having led the policy board since 2018.
Julian Mund, chief executive of Pensions UK said: "Emma is a fantastic chair who continues to make a significant contribution to our organisation and has done for many years, both as chair of the board and, before that, as chair of our agenda-setting policy board.”
In July last year, pensions minister Torsten Bell apologised to the Work and Pensions Committee for not alerting MPs earlier of the recruitment campaign so they could plan their pre-appointment hearing accordingly.
If her appointment goes ahead, Douglas will receive £92,300 a year as TPR’s chair. In 2021, the time commitment was 104 days, for a salary of £73,840. It is understood that she would need to relinquish her role as chair of Pensions UK, which she has held since October 2021, having led the policy board since 2018.
Julian Mund, chief executive of Pensions UK said: "Emma is a fantastic chair who continues to make a significant contribution to our organisation and has done for many years, both as chair of the board and, before that, as chair of our agenda-setting policy board.”
