Key points

• Trustees cannot act lawfully when unduly influenced by a conflict of interest;
• A conflict of interest can impact on the validity of a trustee decision and on the management of the pension scheme;
• The Pensions Regulator has issued guidance around conflicts of interest;
• Trustees need to understand, identify and manage conflicts of interest including adviser conflicts;
• Trustees should adopt a conflicts of interest policy;
• A conflict can arise in relation to confidential information; and
• Separate Companies Act 2006 requirements apply to trustee directors.