Decision details
Admission Body Exit Request - Avon Pension Fund
Decision Maker: Chief Finance Officer (S151)
Decision status: Approved
Is Key decision?: No
Is subject to call in?: No
Purpose:
Admission bodies are permitted to leave the
scheme in certain circumstances in line with the LGPS regulations
and the Fund's Funding Strategy. Alliance Homes requested to leave
the scheme on the grounds of the financial risk arising from the
volatility of the deficit and harmonisation of pension
arrangements. The employer consulted the affected employees and
gained consent. Fund officers took legal advice and consulted the
guarantor to the admission agreement (NSC). On exit a Deed of
Amendment was entered into signed by all 3 parties to the admission
agreement, providing APF indemnities and warranties from both
Alliance and NSC, as guarantor. There is no cost to the Fund on
exit as Alliance is responsible for any outstanding debt on
exit.
Decision:
Head of Pensions in consultation with officers
approved the exit request, effective 30/6/23.
Alternative options considered:
Option 1 - do not permit to leave but raises
risk of employer unilaterally removing members when admission is
still open, leaving the Fund at risk
Option 2 -
Option 3 -
Publication date: 19/06/2023
Date of decision: 19/06/2023