Summary
The Small Pots framework makes provision for the automatic consolidation of small, dormant pension pots into larger, better-performing pension schemes. Consolidating these smaller pots into larger ones will reduce waste and ensure people’s pots are at lower risk of being lost.
Consultation description
The author for this consultation is the Department for Work and Pensions. As such, all consultation information and related documents can be found at Small Pots: a pathway for consolidation - GOV.UK
Through the Pension Schemes Act 2026 the Government has established a legal framework required to implement the Multiple Default Consolidator solution. This consultation seeks views on proposals for secondary legislation to support the operation of the regime and views on the further development of policy on the regulatory framework, operational processes and technology required to guide secondary legislation to enable the automatic consolidation of small, dormant pension pots into authorised consolidator schemes while maintaining strong consumer protections and good member outcomes.