NEW RULES FOR THE PENSION FUNDS ADJUDICATOR

Mar 4, 2026

NEW RULES FOR THE PENSION FUNDS ADJUDICATOR

Released: Johannesburg, 4 March 2026

OMBUD COUNCIL PUBLISHES NEW RULES FOR THE PENSION FUNDS ADJUDICATOR, STRENGTHENING COMPLAINT HANDLING PROCESSES

The Ombud Council has published the Ombud Council Rules for the Pension Funds Adjudicator (PFA), 2026, on its website on 4 March 2026. The Rules are binding subordinate legislation under the Financial Sector Regulation Act, 2017 (FSR Act) and form part of a broader strategy to strengthen the accessibility, accountability and effectiveness of financial dispute resolution in South Africa

These Rules matter because South Africa’s financial ombud system has evolved significantly in recent years, with reforms aimed at improving coordination between schemes, reducing procedural complexity and reinforcing public confidence in alternative dispute resolution outside the courts.

The Ombud Council plays a central role in harmonising how financial sector ombud schemes operate, including the making of binding regulatory instruments that enhance procedural clarity and operational efficiency of schemes.

The Rules formalise existing practices and introduce process refinements based on practical experience of the PFA. Key enhancements include:

    • Encouraging conciliation and settlement before issuing formal determinations, where appropriate and without limiting the scheme’s powers to follow any procedure considered appropriate to resolve a complaint.
    • Confirming complaint dismissal processes, including grounds for summary dismissal.
    • Provisions addressing non-cooperation, enabling default determinations where parties fail to respond or engage.
    • Confirmation of powers relating to costs orders, interest and time limits.
    • Mandatory communication regarding parties’ right to apply to the Financial Services Tribunal for reconsideration.
    • Strengthened co-operation and reporting between the scheme, the Financial Sector Conduct Authority, the Ombud Council and other ombud bodies to support enforcement and compliance.

These measures are aimed at delivering efficient and transparent outcomes for complainants and pension funds alike.

Phased implementation

After consultation with the PFA and to allow for operational readiness, a phased implementation approach for certain Rules has been provided for.

    • Specified procedural Rules will come into operation on 1 October 2026.
    • Certain Rules will be implemented on 1 April 2027.
    • All remaining Rules come into effect immediately on publication of the Rules on the Ombud Council’s website on 4 March 2026.

The Ombud Council Rules for the Pension Funds Adjudicator are available on the Ombud Council’s website https://www.ombudcouncil.org.za/ombud-council-rules/, together with a statement of need, intended operation and expected impact of the Rules, and a consultation report responding to issues raised during public consultation on the Rules.

About the Ombud Council

The Ombud Council is a statutory body established by Chapter 14 of the FSR Act with an objective to assist in ensuring that financial customers have access to, and are able to use, affordable, effective, independent and fair alternative dispute resolution processes for complaints about financial institutions in relation to financial products, financial services, and services provided by market infrastructures. The Council oversees South Africa’s financial sector ombud system. The Ombud Council does not handle complaints directly but sets standards, promotes accountability and supports coordination across the financial sector ombud schemes.

Enquiries: communications@ombudcouncil.org.za
Website: www.ombudcouncil.org.za
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