A school which converts to an Academy* will become a separate Scheme Employer under the Local Government Pension Scheme (LGPS) Regulations and are classed as a ‘scheduled body’ by virtue of Number 20 of Part 1 of Schedule 2 of the LGPS Regulations 2014 (previously Part 1 of Schedule 2 of the LGPS Administration Regulations 2008 [SI2008/239]).
*Unless the Academy is joining a Multi Academy Trust (MAT) then the MAT itself will be the Scheme Employer.
Academies are required to offer their non teaching staff membership of the LGPS, existing LGPS members are unaffected by the change.
As a Scheme Employers, employers must adhere to the corresponding responsibilities. Please visit the Your Responsibility page for more information.
Information for Academies, particularly useful for new or prospective conversions, can be found on our Academies Factsheet (July 2016) or the Local Government Association Academy Factsheet 2017. For further information please see the Department of Education’s website section on Academies and FAQ’s.
Department for Education Guarantee
On 2nd July 2013 the Department for Education issued a guarantee in principle that they would meet outstanding pension liabilities should an Academy close. This is expected to underpin proposals for Academy pooling arrangements which are due to be consulted on shortly.
Our Scheme Actuary, Hymans Robertson, has prepared a Briefing Note on the implications of this guarantee. This note has been prepared for administering authorities but may be shared with Academies. The Briefing Note can be downloaded here.
We will be consulting with our Scheme Actuary on how the guarantee feeds into our contribution strategy decisions as part of the current valuation exercise.
Any queries in respect of Academies should be directed to your usual Employer Team contact, and not Hymans Robertson.