Every three years an actuarial valuation is undertaken for defined benefit (DB) pension schemes such as the Scottish Voluntary Sector Pension Scheme. This is required by legislation.
The valuation compares the assets of the scheme to the estimated cost of the benefits that have been earned, known as liabilities. If the assets are less than the liabilities then a recovery plan needs to be agreed to provide additional contributions from participating employers.
The valuation involves assessing the employer covenant, the financial support provided to the scheme by the participating employers, which is an important factor in determining the assumptions used in the calculation of the liabilities. TPT Retirement Solutions works closely with the Employer Committee (EC) during the valuation to discuss employer covenant, the assumptions and the recovery plan, where applicable. More information about the EC is available here
The next valuation is due at 30 September 2023.
If you have any questions about the 2023 valuation, please get in touch with the Employer Relationship Team:
or call 0113 394 2754