The Financial Reporting Council (FRC) has issued a revision to its Technical Actuarial Standard for work supporting funeral plan trusts (TAS 400).
The revised standard has been updated to reflect new requirements introduced by the Funeral Planning Association (FPA) following a consultation in February.
FRC announced that there are two associated reasons for making this change now, which include authorisation and supervision of Funeral Plan Trusts is scheduled to move from the FPA to the Financial Conduct Authority (FCA) in the near to medium future; and the FPA has introduced new requirements in their rules to include a new Asset Adequacy Report. This has been reflected in TAS 400.
Mark Babington, FRC executive director, regulatory standards said: “Due to the commercial risks associated with the transition of supervision from the FPA to the FCA, we have revised our standard to protect the public interest during this period. The FRC will keep under review any further changes needed to TAS going forward.”
The organisation said once the transition to the FCA is completed the FRC will conduct a further review to see whether TAS 400 is still needed as a separate TAS, and if it is, what further changes are needed.