Trustees and sponsoring employers of DB schemes are facing a dilemma. 

Many employers and trustees perceive that they get little value from expenditure on DC AVC arrangements and would prefer to focus their pension spend solely on addressing the DB liabilities. Others argue that the AVC section is relatively small in comparison with the DB section and thus afford it a comparatively lower level of attention. 

However, tPR is clear that these approaches cannot continue, stipulating that DC AVC sections, regardless of size or whether they are open or closed to future accrual, must be properly governed. This can have a significant drain on the pension spend available to trustees.

A new solution, known as XPT AVC Solutions, offers an effective means of addressing the expense and time consuming governance challenges of DC AVC sctions of DB schemes. It also protects members' benefits and provides them with valuable ongoing support.

To download the XPT AVC Solutions In Brief factsheet click here