§ Mr. CousinsTo ask the Deputy Prime Minister what are the approved additional voluntary contribution providers under the Civil Service Pension Scheme; how many outstanding contracts there are with each provider; when these AVC providers were first selected; when that selection was reviewed; and what was the source of the professional advice as to that selection and renewal. [10921]
§ Mr. LeslieThe Equitable Life Assurance Society and the Scottish Widows' Fund and Life Assurance Society were appointed as AVC providers for the civil service by the Treasury in December 1988. Responsibility for the civil service additional voluntary contribution scheme transferred to the Cabinet Office on 1 April 1995 under the Transfer of Functions (Treasury and the Minister for the Civil Service) Order 1995, SI 1995/269. The continuing suitability of both providers for investment under the civil service AVC scheme is subject to regular review by the Cabinet Office taking account of expert professional advice. Bacon and Woodrow are the appointed civil service AVC scheme advisers to the Cabinet Office.
Member of the civil service pension scheme are provided with a wide choice of AVC investments. Both providers offered a with-profits investment route; a deposit based fund; and unit linked investment through a wide range of investment funds. There are approximately 6,800 active contributing civil service AVC members with Equitable Life and 8,800 members with Scottish Widows. During 2001, a competitive selection process was carried out to identify a further AVC providers for the Civil Service. The Standard Life Assurance Company was selected. It will offer members investment in with-profits and through a wide choice of unit linked funds.