§ Mr. CousinsTo ask the Secretary of State for Health what are the approved AVC providers under the NHS pension scheme; how many outstanding AVC contracts there are with these providers; when these AVC providers were first selected and when that selection was reviewed; and what was the source of the professional advice as to that selection and renewal. [10922]
§ Mr. HuttonThe authorised AVC providers for the national health service pension scheme in England and Wales are Equitable Life Assurance Society, Clerical Medical Investment Group Limited, Standard Life Assurance Society and the Prudential.
Equitable Life was appointed as the first, sole provider from 15 February 1991. The society was reappointed from 6 April 1998 for a further five years. On both occasions, the appointment followed a competitive tender with the Department. National health service employers and staff 1190W interests were represented on the selection panel. The Government Actuary's Department provided professional actuarial advice.
In March 2001, when Halifax plc purchased Equitable Life's operations, the range of AVC investment funds was extended by agreement to include seven from Clerical Medical, a Halifax Group subsidiary.
I understand that there are about 38,000 national health service contracts with Equitable Life and around 2,000 with Clerical Medical.
From 8 October 2001, following a further tendering exercise managed and endorsed by independent advising actuaries Bacon and Woodrow, Standard Life and the Prudential were added to the list of authorised providers. No contracts are yet operational.