Posted on
3rd June 2009 by
Brian Spence
JLT Employee Benefits are apparently consulting with their staff with a view to closing their operation in Glasgow. We understand about 70 staff are affected many of whom were engaged in providing actuarial and pensions administration services to final salary pension schemes originally set up by insurance companies like Scottish Mutual and Scottish Provident, mutual businesses that provided secure skilled employment for many decades but now sacrificed at the altar of shareholder value. The pension schemes will apparently be serviced from JLT’s offices in England.
Sad to see a highly skilled team that has taken years to put together and which has accumulated knowledge of the pension schemes they administer just disappear like this.
UPDATE ON 5 JUNE 2009 – Story confirmed in The Herald.
Posted in: Blog
Tags: Actuarial, Administration, Pensions, Scotland
Posted on
2nd June 2009 by
Brian Spence
With the Scottish National Party government committed to bring forward a bill next year for a referendum on independence for Scotland the Faculty of Actuaries in Scotland is embroiled in what looks like an increasingly acrimonious dispute over merger with the Institute of Actuaries in England.
Latest is that a Special General Meeting has been called by a dissenting group Fidelis to debate three resolutions that are being strongly opposed by the Faculty’s Council.
A lively anti-merger account is being provided by Patrick Lee who is associated with Fidelis at 21st century actuary’s blog.
The point that perplexes me is why after 150 years of existence the Profession is so determined to bring about a merger on what could be the eve of independence for Scotland.
I havent seen any suggestion that the Society of Actuaries in Ireland or the actuarial profession in any other EU state should join in the merger.
Perhaps merger in the longer term will be the right course of action but it certainly seems a premature and divisive step at this stage.
Posted in: Blog
Tags: Actuarial, Scotland
Posted on
27th May 2009 by
Brian Spence
I have tried a few times recently to explain how actuaries in the UK are governed and regulated. More complicated than you might think!
In a nutshell the Financial Reporting Council (FRC) is the UK’s independent regulator responsible for promoting confidence in corporate governance and reporting. The FRC sets standards for actuarial practice and oversees the regulatory activities of The Actuarial Profession (I will explain later who they are). Read more »
Posted in: Blog
Tags: Actuarial
Posted on
14th May 2009 by
Brian Spence
In these difficult times many employers operating final salary pension schemes are closing their scheme to future accrual of benefits.
Some lawyers and actuaries have expounded a theory that suggests that since this brings the eventual wind-up closer (albeit it may still be decades away) the trustees should adopt a buy-out funding target. Read more »
Posted in: Blog
Tags: Accounting, Actuarial, Pension Funding, Pensions, Pensions Regulator, Trusteeship, Wind up
Posted on
4th May 2009 by
Brian Spence
The snappily titled The Occupational, Personal and Stakeholder Pensions (Miscellaneous Amendments) Regulations 2009 provide (among many other things) for connected employer bulk transfers to be made from a formerly contracted out scheme (such as a closed pension scheme) as opposed to only from a currently contracted-out scheme without consent from 6 April 2009.
Bit of an arcane point but I wonder how many transfers were made in breach of the old rules – I can think of at least one where the lawyers may have got this wrong. I suspect there are may be others.
Would suggest schemes take legal advice to make sure they tie up any loose ends.
Posted in: Blog
Tags: Bulk Transfers, GN16, Legislation, Trusteeship
Posted on
3rd April 2009 by
Brian Spence
The Department for Work & Pensions have started a consultation on draft guidance prepared by the Government Actuary’s Department on the method and assumptions that will apply when actuaries undertake valuations in respect of FAS qualifying schemes to facilitate the transfer of assets. We hope that early consultation on this guidance will generate feedback on potential practical issues and enable schemes to start to undertake preparatory work.
Posted in: Blog
Tags: Actuarial, Financial Assistance Scheme
Posted on
3rd April 2009 by
Brian Spence
The Pension Protection Fund (PPF) has announced that from 1 April the 2009/10 compensation cap for defined benefit pension scheme members has risen by 3.5% to £31,936.32 for individuals aged 65. The compensation payable to scheme members who have taken early retirement has also increased by the same percentage.
Posted in: Blog
Tags: Pension Protection Fund
Posted on
30th March 2009 by
Brian Spence
Had a look at the Society’s accounts for 2007 and at 31 December there was an FRS17 liability of £32.9 versus assets of £25.7. £16.2 million was in equities so will be worse now.
Looks like a likely new entrant to the PPF unless there is a very substantial element of the liabilities that exceed the cap for compensation.
Posted in: Blog
Tags: Events
Posted on
27th March 2009 by
Brian Spence
The Actuarial Profession has published the results of its survey on UK actuaries’ views on the profession, its future goals and on the proposed merger between the Institute and Faculty of Actuaries.
Another piece of thinly disguised PR for the Profession’s leadership’s obsession with this merger amid the worst financial crisis since the 1930s.
One comment included in the survey is the criticism “We are almost entirely inward focussed.” Not half!
Posted in: Blog
Tags: Actuarial
Posted on
20th March 2009 by
Brian Spence
Spence & Partners has launched a data evaluation tool for scheme trustees and administrators.
The specialist administrator’s launch follows guidance on record keeping from the Pensions Regulator (tPR).
The data tool evaluates the quality of electronically held scheme data and provides a rating. The report also delivers a quality rating in relation to a specific action, such as a scheme buyout or the provision of scheme transfers. Read more »
Posted in: Blog
Tags: Administration, Data, Financial Assistance Scheme, Pension Protection Fund, Professional Trustees
