Scottish Widows will provide an Additional Voluntary Contribution Scheme to the £760 million Worcest...
Scottish Widows will provide an Additional Voluntary Contribution Scheme to the £760 million Worcestershire County Council Pension Fund.
Scottish Widows will now administer the Fund's AVC scheme together with Equitable Life, who was previously the sole provider.
The fund has around 15,000 members who work for approximately 50 participating employers.
Under the Local Government Pension Scheme Regulations 1997, active scheme members can elect to pay AVCs and the fund must make arrangements for those benefits to be provided under a pensions policy. Members may also increase their death benefits by paying AVCs.
There are around 700 participants in the AVC facility, with total deductions amounting to over £400,000 per year.
Scottish Widows is keen to offer similar arrangements in other areas of local government and the public sector. The company has recently been appointed as AVC Scheme provider for Nottinghamshire Pension Fund, South Yorkshire Pensions Authority and West Yorkshire Pension Fund.
"This latest win is the fourth of its kind in the last six months and means we can now provide "top-up" pension schemes to approximately 175,000 local government employees," says Jas Randhawa, Scottish Widows corporate business consultant.
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