Explanatory note

These Regulations amend the Teachers’ Pensions Regulations 1997 (S.I. 1997/3001) (“the Pensions Regulations”).

Regulations 3(2) and (3) amend regulation G2 of the Pensions Regulations to deem that the closing balance in the Teachers’ Pension Account for the financial year ending on 31^st March 2001 to be an amount determined by the Government Actuary by reference to the value of the scheme assets mentioned in regulation G4(6). Regulation 4(10) substitutes regulation G4(6) of the Pensions Regulations to provide that the value of the scheme assets are equal to the value of the scheme liabilities on 31^st March 2001.

Regulations 4(2) to (6), (8), (11) and (12) amend the terminology in regulation G4 of the Pensions Regulations from “inquiry” to “review” and from “amount” to “value” in order to ensure the consistency of the language with modern actuarial methods. They also remove the references to the end of the financial year. Regulation 4(13) corrects a typographical error.

Regulation 4(5) inserts regulation G4(1B) into the Pensions Regulations to require the Government Actuary with the agreement of Secretary of State to specify a funding methodology for each actuarial review. Regulation 4(7) amends regulation G4(3) to provide that the standard contribution rate must be specified in the actuarial review. Regulation 4(9) substitutes regulation G4(5) to provide that the scheme assets and scheme liabilities are to be determined using the specified funding methodology.

Regulation 5 amends regulation G5(2) of the Pensions Regulations to provide that the formula for calculating the employer contribution rate from 1^st April 2003 will not include the addition of 0.2%. Regulation 8 amends paragraph 9 of Schedule 15 to the Pensions Regulations to safeguard the employer contribution rates for the period 1^st April 2000 to 31^st March 2003.

Regulation 6 amends regulation G7(4) of the Pensions Regulations to reduce the interest rate on late payments of employer contributions from 12% to 8% for periods of pensionable employment on or after 1^st April 2003.

Regulation 7 amends paragraph 5 of Schedule 2 to the Pensions Regulations to change the references to “city academies” to “academies”.