Madam, – The assertion by Elieen Finn BL (“Call for tax relief on pensions to be abolished”, July 6th) that trustees of pension schemes “are getting a huge cut” is very removed from reality.
Trustees perform a hugely importance governance role in very difficult circumstances.
They have an obligation under trust law to act in the best interest of the members of the scheme and also have many statutory duties set out in the Pensions Act.
Failure to comply with these is a criminal offence which can result in fines or imprisonment.
With very few exceptions, trustees perform these duties on a voluntary basis and in occupational pension schemes are drawn from representatives of the employer and members of the scheme.
Indeed a report on trusteeship published in 2006 by the Pensions Board, which regulates trustees, found that: “Among trustees, there was virtually no support for trustee remuneration. In the main, this view related, again, to the idea that trustees generally volunteered for their role or felt a responsibility to take on the role as part of their general work duties”.
The role of a trustee is difficult enough without suggestions that they carry this out for financial reward. – yours, etc,