PRAG Current Projects
PRAG has working parties considering various subjects. Certain subjects are ongoing and "standing" working parties continue to operate to deal with various issues as they arise from time to time. Other working parties are formed to focus on specific issues and then publish a report for circulation to members.
PRAG is keen to sponsor new working parties. If you would like to be involved with any working parties or have suggestions for an alternative working party please contact the Research Secretary.
Standing working parties are:
SORP
The role of the SORP Working Party is to ensure that the SORP reflects best practice and guidance in accordance with legislation and Financial Reporting Standards. The original SORP was issued in July 1996, updated in 2002 and again in 2007 taking into consideration changes in accounting practice and legislation in the intervening period.
This Working Party has recently regrouped to consider possible updates required to the SORP.
Europe
The role of the European Working Party is to keep a focus on Pan European issues that are likely to have a consequence in the UK. To this end, the Committee seek feedback from many individuals, organisations and other committees involved in Europe to identify the likely impact on UK pension arrangements.
Internal Audit
This is one of PRAG's most wide-ranging Working Parties. It considers a host of topics generally from an "internal control" perspective, including trustees’ contracts with providers, stakeholder pensions, AVCs etc.
The Working Party has recently issued guidance which is available here.
Summary Reports
This working party organises an annual competition for the preparers of summary reports. Prizes are awarded for technical content and presentation of information in a manner likely to be most accessible to the scheme membership.
Tax
This Working Party was originally formed to provide guidance on dealing with the self-assessment regime introduced by the Inland Revenue. However, it continues to monitor taxation matters generally and maintains close contact with the HMRC on various issues.
Current Specific Working Parties are:
PRAG/PMI Pensions Terminology
This working party has recently reformed to update the PRAG/PMI Pensions Terminology booklet which was last updated in 2007. The revised edition is now available.
Derivatives
Revised guidance was published in 2007 on this subject. This topic is an area of ongoing discussion and the working party continue to monitor issues critical to pension scheme accounting, issuing guidance papers as new themes emerge.
Local Authority Accounting
A PRAG working party looking at the revised requirements for Local Authority pension scheme accounting produced comprehensive guidance in this field. The guidance has yet to be published for consultation by the Department for Communities and Local Government but has been widely circulated for reference amongst local authority pension scheme accountants.
VAT
A new VAT Working Party has recently been formed with the objective of reviewing and revising the existing guidance on VAT accounting within pension schemes.
Others
In the last few years PRAG has completed projects on accounting for insurance policies and outsourcing and a wider pensions industry group has looked at model administration agreements.
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