The Pensions Authority is increasing scrutiny of personal retirement savings accounts (PRSAs) in response to the boom in assets held by the funds in the past two years.<\/p>\n
In recently published remarks delivered to the National Pensions Summit late last month, Brendan Kennedy, chief executive of the Pensions Authority, said it was tightening up supervision of all pension schemes, but singled out PRSAs as a particular area of concern.<\/p>\n
\u201cIn response to the increase in PRSA contributors and assets, we are increasing the oversight of PRSAs,\u201d he said. \u201cThis will include gathering more data, to underpin better risk assessment, and identifying areas of concern for further examination.\u201d<\/p>\n
The extra attention on PRSAs, which were introduced in 2002 to boost pensions coverage for the self-employed and those without access to employer schemes<\/a>, is in addition to proposed new rules to stop self-directed pensions from putting money into unregulated investments.<\/p>\n The Pensions Authority said its focus on the individual savings vehicles was intended to safeguard retirement assets and provide a consistent level of regulatory protection for PRSA holders and members of occupational schemes.<\/p>\n Billions of euros have been flowing into PRSAs in recent years as savers adapt to the elimination under EU law of small self-administered schemes. The one-member arrangements were given a five-year derogation from the regulations, but that ends in April.<\/p>\n