Metropolitan Thames Valley Housing (MTVH) is planning to set up a defined contribution (DC) pension arrangement to provide future benefits for current employees and new joiners through auto-enrolment (AE).
The company is looking for a provider to partner with it in offering a single DC pension arrangement for its employees in the form of a master trust arrangement that is authorised by The Pensions Regulator (TPR), it announced today (3 December).
This would mean members would be moved from the almost 100,000 member Social Housing Pension Scheme (SHPS) - which is run by TPT Retirement Solutions' DC master trust - to the new arrangement.
In October, its DC pension assets and liabilities moved within TPT Retirement Solutions from SHPS to the Flexible Retirement Plan as an interim measure until a full procurement exercise is carried out to secure a long term defined contribution solution. MTVH said it wants the new arrangement to receive existing pension benefits currently invested in the DC section of SHPS.
It is also seeking to appoint a provider to take on administration and investment platform services for the scheme, all existing DC assets from the legacy arrangements and all future DC pension contributions.
MTVH said: "The successful provider will be determined on the proposition that best meets its needs."
Chief financial officer Ian Johnson commented: "As part of the work carried out in the merger our two legacy organisations, we determined that the most effective way of managing our combined pension risk in the long term was to disaggregate from the SHPS multi-employer scheme. Our priority has been to ensure that there is no detriment or disadvantage to our employees or pensioners as a result of the move."
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