PSI20.2.5 - Funding and Surpluses: Self-Administered Schemes - Actuarial Valuations

(This archived guidance relates to HMRC discretionary practice before the 6th April 2006. For current guidance on Registered Pension Schemes see the Registered Pension Schemes Manual)

[PN13.6 and 20.15]

As well as providing for the appointment of an actuary the scheme rules should require the trustees to obtain periodic actuarial valuations of the scheme. An initial valuation report of advice on which the funding is to be based will be prepared when a scheme is set up so that the contributions required to provide the promised benefits may be calculated. The rules should also provide for regular actuarial reviews. In the case of self-administered schemes falling within the scope of the Pension Scheme Surpluses (Valuation) Regulations that is, “large” self-administered schemes - generally those with 12 or more members - these reviews should take place at least every 3 years 6 months (or 5 years in the case of certain public service schemes). A shorter interval, once in every 3 years, is required for small self-administered schemes (see the SSAS Guidance Notes).

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