33.7  Service Provider Scheme

The Service Provider shall, or shall procure that any relevant sub-contractor shall, not later than the Relevant Transfer Date or the Cessation Date (as the case may be) nominate to the Authority in writing the occupational pension scheme or schemes which it proposes shall be the Service Provider Scheme for the purposes of this clause 33.7.  Such pension scheme or schemes must be:

(a)  established within three (3) months prior to the Relevant Transfer Date or Cessation Date (as the case may be) and maintained until any payment to be made under Part 4 of Schedule 25 (Bulk Transfer Terms) is made;

(b)  reasonably acceptable to the Authority (such acceptance not to be unreasonably withheld or delayed);

(c)  registered within the meaning of the Finance Act 2004;  and

(d)  certified by [the Government Actuary's Department] [an actuary nominated by the Authority in accordance with relevant guidance produced by the Government Actuary's Department] as providing benefits which are broadly comparable to those provided by the LGPS;49

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49  The Authority should note that certification by GAD does not take account of any benefits which are payable solely as a result of the member being declared redundant, either compulsorily or voluntarily, where those benefits exceed the normal benefits available to an individual who resigns from employment at the same time.  Such benefits are payable under regulation 26 of the LGPS Regulations.  The Authority may wish to consider whether it wants to include any express provisions about the continuation of such benefits in the Agreement, either through the Service Provider's Scheme or by way of compensation.  If so, the Authority should consult with its professional advisers about such provisions.  Alternatively, the Authority may wish to consider with its advisers whether such benefits pass under TUPE (where TUPE applies) following the decisions in Beckmann v Dynamco Whicheloe Macfarlane [2002] 64 PBLR and Martin v South Bank University [2003] 85 PBLR.  Discretionary enhanced benefits payable under the Compensation Regulations are covered in Clause 34A.9.