A report by the Director of Finance set out details of the annual review of potential unfunded liabilities for admission bodies, undertaken by the Actuary Mercer, following an actuarial review of the Fund as at 31 March 2009.

Members were recommended to confirm, having regard to the continued current difficult financial circumstances, bond requirements for Contractor Admission Bodies should not be not increased based on the latest figures provided by the Actuary but instead be retained at the 31 March 2007 levels.

Consequently, the funding guarantees provided by the Authority to MPF would need to be increased in accordance with the amount of the unfunded liability.

RESOLVED - That

(1)  the bond requirements be not increased based on the 31 March 2009 figures provided by the Actuary but instead be retained at the 31 March 2007 levels;

(2)  the level of funding guarantees provided by the Council be increased in accordance with the amount of the unfunded liabilities;

(3)  a further review be undertaken as part of the forthcoming actuarial valuation as at 31 March 2010 and the results be considered, having regard to the outcome of the current funding consultation, and in the light of the economic and financial position at that time; and

(4)  the potential liabilities of admission bodies continue to be monitored on a regular basis.