DWP puts forward an authorisation and supervision regime to ensure Master Trusts are fit for purpose
There are currently 87 master trusts looking after the retirement savings of 90% of the savers who have auto-enrolled. Despite this, the market has been largely unregulated. There are few requirements for setting up a new master trust and little regulatory oversight.
Now, more than 5 years into auto-enrolment, the DWP has put forward an authorisation and supervision regime. This regime is to ensure Master Trusts are fit for purpose. This is due to be launched in October 2018. It will ensure they meet a number of stringent standards on an ongoing basis.
The link below gives you much more detail, including the five criteria that these trusts will be assessed on by TPR.