The Local Government Pension Scheme Regulations 2013

Actuarial valuations E+W

Actuarial valuations of pension funds E+W

62.—(1) An administering authority must obtain—

(a) an actuarial valuation of the assets and liabilities of each of its pension funds as at 31st March 2016 and on 31st March in every third year afterwards;

(b) a report by an actuary in respect of the valuation; and

(c) a rates and adjustments certificate prepared by an actuary.

(2) Each of those documents must be obtained before the first anniversary of the date (“the valuation date”) as at which the valuation is made or such later date as the Secretary of State may agree.

(3) A report under paragraph (1)(b) must contain a statement of the demographic assumptions used in making the valuation; and the statement must show how the assumptions relate to the events which have actually occurred in relation to members of the Scheme since the last valuation.

(4) A rates and adjustments certificate is a certificate specifying—

(a) the primary rate of the employer's contribution; and

(b) the secondary rate of the employer's contribution,

for each year of the period of three years beginning with 1st April in the year following that in which the valuation date falls.

(5) The primary rate of an employer's contribution is the amount in respect of the cost of future accruals which, in the actuary's opinion, should be paid to a fund by all bodies whose employees contribute to it so as to secure its solvency, expressed as a percentage of the pay of their employees who are active members.

(6) The actuary must have regard to—

(a) the existing and prospective liabilities arising from circumstances common to all those bodies;

(b) the desirability of maintaining as nearly constant a [F1 primary] rate as possible;

(c) the current version of the administering authority's funding strategy mentioned in regulation 58 (funding strategy statements); and

(d) the requirement to secure the solvency of the pension fund and the long term cost efficiency of the Scheme, so far as relating to the pension fund.

(7) The secondary rate of an employer's contributions is any percentage or amount by which, in the actuary's opinion, contributions at the primary rate should, in the case of a Scheme employer, be increased or reduced by reason of any circumstances peculiar to that employer.

(8) A rates and adjustments certificate must contain a statement of the assumptions on which the certificate is given as respects—

(a) the number of members who will become entitled to payment of pensions under the provisions of the Scheme; and

(b) the amount of the liabilities arising in respect of such members,

during the period covered by the certificate.

(9) The administering authority must provide the actuary preparing a valuation or a rates and adjustments certificate with the consolidated revenue account of the fund and such other information as the actuary requests.

Textual Amendments

F1 Word in reg. 62(6)(b) substituted (with effect in accordance with reg. 1(2)(b) of the amending S.I.) by The Local Government Pension Scheme (Amendment) Regulations 2015 (S.I. 2015/755), regs. 1(2), 21

Aggregate Scheme costs E+W

F2 63.  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Textual Amendments

F2 Reg. 63 omitted (1.4.2015) by virtue of The Local Government Pension Scheme (Amendment) (Governance) Regulations 2015 (S.I. 2015/57), regs. 1(3)(b)(ii), 5

Special circumstances where revised actuarial valuations and certificates must be obtained E+W

64.— [F3 (1) Subject to paragraph (2A), if a person—

(a) ceases to be a Scheme employer (including ceasing to be an admission body participating in the Scheme), or

(b) is or was a Scheme employer, but irrespective of whether that employer employs active members contributing to one or more other funds, no longer has an active member contributing towards a fund (“a relevant fund”) which has liabilities in respect of benefits in respect of current and former employees of that employer,

that person becomes “an exiting employer” in relation to the relevant fund for the purposes of this regulation and is liable to pay an exit payment [F4 or entitled to receive an exit credit].]

(2) When a person becomes an exiting employer, the appropriate administering authority must obtain—

(a) an actuarial valuation as at the exit date of the liabilities of the fund in respect of benefits in respect of the exiting employer's current and former employees; and

(b) a revised rates and adjustments certificate showing the exit payment due from the exiting employer [F5 the excess of assets in the fund relating to that employer over the liabilities specified in paragraph (2)(a)]

F6 [F7 (2ZA) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F8 (2ZAB) An administering authority must determine the amount of an exit credit, which may be zero, taking into account the factors specified in paragraph (2ZC) and must—

(a) notify its intention to make a determination to—

(i) the exiting employer and any other body that has provided a guarantee to the exiting employer under paragraph 8 of Part 3 to Schedule 2 to these Regulations;

(ii) where the exiting employer is a body that has participated in the Scheme as a result of an admission agreement under paragraph (1)(d) of Part 3 of Schedule 2, the Scheme employer in connection with the exercise of whose function it was providing a service or assets ; and

(b) pay the amount determined to that exiting employer within six months of the exit date, or such longer time as the administering authority and the exiting employer may agree.]

(2ZB) When an administering authority has paid an exit credit to an exiting employer, no further payments are due from that administering authority in respect of any surplus assets relating to the benefits in respect of any current or former employees of that employer as a result of these Regulations.]

[F9 (2ZC) In exercising its discretion to determine the amount of any exit credit the administering authority must have regard to the following factors—

(a) the extent to which there is an excess of assets in the fund relating to that employer over the liabilities specified in paragraph (2)(a);

(b) the proportion of this excess of assets which has arisen because of the value of the employer’s contributions;

(c) any representations to the administering authority made by the exiting employer and, where that employer participates in the scheme by virtue of an admission agreement, any body listed in paragraphs (8)(a) to (d)(iii) of Part 3 to Schedule 2 to these Regulations; and

(d) any other relevant factors.]

[F10 (2A) An administering authority may by written notice (“a suspension notice”) to an exiting employer suspend that employer’s liability to pay an exit payment for a period of up to 3 years starting from the date when that employer would otherwise become an exiting employer, if the condition in paragraph (2B) is met.

(2B) The condition mentioned in paragraph (2A) is that in the reasonable opinion of the administering authority the employer is likely to have one or more active members contributing to the fund within the period specified in the suspension notice.

(2C) If an administering authority serves a suspension notice on an employer, unless that suspension notice is withdrawn, paragraph (2) does not apply in respect of that employer, but the employer must continue to make such contributions towards the liabilities of the fund in respect of benefits in respect of the employer’s current and former employees as the administering authority reasonably requires.]

(3) Where for any reason it is not possible to obtain all or part of the exit payment due from the exiting employer, or from an insurer, or any person providing an indemnity, bond or guarantee on behalf of the exiting employer, the administering authority must obtain a further revision of any rates and adjustments certificate for the fund showing—

(a) in the case where a body is an admission body falling within paragraph 1(d) of Part 3 of Schedule 2 to these Regulations (Scheme employers: bodies providing services as a result of transfer of a service), the revised contribution due from the body which is the related employer in relation to that admission body; and

(b) in any other case, the revised contributions due from each Scheme employer which contributes to the fund,

with a view to providing that assets equivalent to the exit payment due from the exiting employer are provided to the fund over such period of time as the administering authority considers reasonable.

(4) Where in the opinion of an administering authority there are circumstances which make it likely that a Scheme employer (including an admission body) will become an exiting employer, the administering authority may obtain from an actuary a certificate specifying the percentage or amount by which, in the actuary's opinion—

(a) the contribution at the primary rate should be adjusted; or

(b) any prior secondary rate adjustment should be increased or reduced,

with a view to providing that assets equivalent to the exit payment that will be due from the Scheme employer are provided to the fund by the likely exit date or, where the Scheme employer is unable to meet that liability by that date, over such period of time thereafter as the administering authority considers reasonable.

(5) When an exiting employer has paid an exit payment into the appropriate fund, no further payments are due from that employer in respect of any liabilities relating to the benefits in respect of any current or former employees of that employer as a result of these Regulations.

(6) Paragraph (7) applies where—

(a) a Scheme employer agrees to pay increased contributions to meet the cost of an award of additional pension under regulation 31 (award of additional pension); or

(b) it appears likely to an administering authority that the amount of the liabilities arising or likely to arise in respect of members in employment with a Scheme employer exceeds the amount specified, or likely as a result of the assumptions stated, for that authority, in a rates and adjustments certificate by virtue of regulation 62(8) (actuarial valuations of pension funds: assumptions).

(7) The administering authority must obtain a revision of the rates and adjustments certificate concerned, showing the resulting changes as respects that Scheme employer.

[F11 (7A) An administering authority may enter into a written agreement with an exiting Scheme employer for that employer to defer their obligation to make an exit payment and continue to make contributions at the secondary rate (“a deferred debt agreement”).

(7B) An administering authority may enter into a deferred debt agreement with an exiting Scheme employer where—

(a) the last active member in respect of that Scheme employer has left the Scheme;

(b) the funding strategy mentioned in regulation 58 (funding strategy statements) has set out the administering authority’s policy on deferred debt agreements; and

(c) the administering authority has—

(i) consulted the exiting Scheme employer; and

(ii) had regard to the views of an actuary appointed by the administering authority.

(7C) Where a deferred debt agreement has been entered into under paragraph (7A)—

(a) the exiting employer becomes a deferred employer on the date specified in the agreement;

(b) the deferred employer must—

(i) meet all requirements on Scheme employers except the requirement to pay the primary rate of contributions as determined under regulation 62(5) (actuarial valuations of pension funds); and

(ii) pay the secondary rate of contributions as determined under regulation 62(7) as revised from time to time following an actuarial valuation until the termination of the deferred debt agreement.

(7D) A deferred debt agreement must include express provision for it to remain in force for a specified period, which may be varied by agreement of the administering authority and the deferred employer.

(7E) A deferred debt agreement terminates on the first date on which one of the following events occurs—

(a) the deferred employer enrols new active members;

(b) the period specified, or as varied, under paragraph (7D) elapses;

(c) the take-over, amalgamation, insolvency, winding up or liquidation of the deferred employer;

(d) the administering authority serves a notice on the deferred employer that the administering authority is reasonably satisfied that the deferred employer’s ability to meet the contributions payable under the deferred debt arrangement has weakened materially or is likely to weaken materially in the next 12 months; or

(e) an actuary appointed by the administering authority assesses that the deferred employer has paid sufficient secondary contributions to cover the exit payment that would have been due under paragraph (1) if the employer had become an exiting employer on the calculation date.

(7F) Paragraph (7E)(c) does not apply where the administering authority serves a notice on the deferred employer that the administering authority is satisfied that the event would not be likely to significantly weaken the deferred employer’s ability to meet the contributions payable under the deferred debt agreement in the next 12 months.

(7G) On the termination of a deferred debt agreement under paragraph (7E) a deferred employer becomes an exiting employer in relation to the relevant fund for the purposes of this regulation.]

(8) For the purposes of this regulation—

“exiting employer” means an employer of any of the descriptions specified in paragraph (1);

[F12 “deferred employer” means a Scheme employer which enters into a deferred debt agreement with an administering authority; ]

[F13 “exit credit” means [F14 any amount paid to the exiting employer by the administering authority] to meet the excess of assets in the fund relating to that employer over the liabilities specified in paragraph (2).]

“exit payment” means the assets required to be paid by the exiting employer over such period of time as the administering authority considers reasonable, to meet the liabilities specified in paragraph (2);

“exit date” means the date on which the employer becomes an exiting employer; and

“related employer” means any Scheme employer or other such contracting body which is a party to the admission agreement (other than an administering authority in its role as an administering authority) .

[F15 (9) Paragraph (10) applies—

(a) where the exiting employer is a probation trust established under section 5 of the Offender Management Act 2007 and the liabilities of the fund in respect of benefits due to or in respect of the probation trust’s current and former employees (or those of its predecessor local probation boards or probation committees) have been or are to be transferred to another person as a result of arrangements made for the provision of probation services under section 3 of that Act (power to make arrangements for the provision of probation services); or

(b) in any other case where the exiting employer is engaged in the provision of probation services, but only to the extent provided for under the relevant admission agreement, in relation to any liabilities of the fund in respect of benefits due to or in respect of the current and former employees of the exiting employer which have been or are to be, with effect from the day following the exit date, transferred to one or more other Scheme employers as a result of arrangements made for the provision of probation services under section 3 of that Act.

(10) Where this paragraph applies, no exit payment is due under paragraph (1) and paragraph (2) does not apply.]

[F16 (11) Paragraph (12) applies where the exiting employers are Buckinghamshire County Council, Aylesbury Vale District Council, Chiltern District Council, South Bucks District Council and Wycombe District Council and the liabilities of the fund in respect of benefits due to or in respect of current or former employees (or those of any predecessor authority) of these exiting employers vest in Buckinghamshire Council.

(12) Where this paragraph applies, no exit payment or exit credit is due under paragraph (1) and paragraph (2) does not apply.]

[F17 (13) Where the exiting employers are Northamptonshire County Council, Corby Borough Council, Daventry District Council, East Northamptonshire District Council, Kettering Borough Council, Northampton Borough Council, South Northamptonshire District Council and Wellingborough Borough Council—

(a) the assets and liabilities of the fund in respect of benefits due to or in respect of current or former employees (or those of any predecessor authority) of the exiting employers shall be allocated between North Northamptonshire Council and West Northamptonshire Council in proportions to be determined by West Northamptonshire Council, and

(b) paragraph (14) applies.

(14) No exit payment or exit credit is due under paragraph (1) and paragraph (2) does not apply.

(15) In determining the proportions for the purposes of paragraph (13)(a) West Northamptonshire Council must seek advice from an actuary and consult with North Northamptonshire Council.]

[F18 (16) Where the exiting employers are Cumbria County Council, Allerdale Borough Council, Barrow-in-Furness Borough Council, Carlisle City Council, Copeland Borough Council, Eden District Council and South Lakeland District Council—

(a) the assets and liabilities of the fund in respect of current or former employees (or those of any predecessor authority) of the exiting employers must be allocated between Cumberland Council and Westmorland and Furness Council in proportions to be determined by Westmorland and Furness Council, and

(b) paragraph (17) applies.

(17) Where this paragraph applies, no exit payment or exit credit is due under paragraph (1) and paragraph (2) does not apply.

(18) In determining the proportions for the purposes of paragraph (16)(a) Westmorland and Furness Council must seek advice from an actuary and consult with Cumberland Council. ]

[F19 (19)  Paragraph (20) applies where the exiting employers are Craven District Council, Hambleton District Council, Harrogate Borough Council, Richmondshire District Council, Ryedale District Council, Scarborough Borough Council and Selby District Council and the liabilities of the fund in respect of current or former employees (or those of any predecessor authority) of these exiting employers vest in North Yorkshire Council.

(20) Where this paragraph applies, no exit payment or exit credit is due under paragraph (1) and paragraph (2) does not apply.]

[F20 (21) Paragraph (22) applies where the exiting employers are Mendip District Council, Sedgemoor District Council, Somerset West and Taunton Council and South Somerset Council and the liabilities of the fund in respect of current or former employees (or those of any predecessor authority) of these exiting employers vest in Somerset Council.

(22) Where this paragraph applies, no exit payment or exit credit is due under paragraph (1) and paragraph (2) does not apply.]

Textual Amendments

F3 Reg. 64(1) substituted (with effect in accordance with reg. 1(2)(b) of the amending S.I.) by The Local Government Pension Scheme (Amendment) Regulations 2015 (S.I. 2015/755), regs. 1(2), 22(a)

F4 Words in reg. 64(1) added (14.5.2018) by The Local Government Pension Scheme (Amendment) Regulations 2018 (S.I. 2018/493), regs. 1(2), 13(a)

F5 Words in reg. 64(2)(b) substituted (20.3.2020 with effect from 14.5.2018) by The Local Government Pension Scheme (Amendment) Regulations 2020 (S.I. 2020/179), regs. 1, 3(2) (with reg. 4)

F6 Reg. 64(2ZA) omitted (20.3.2020 with effect from 14.5.2018) by virtue of The Local Government Pension Scheme (Amendment) Regulations 2020 (S.I. 2020/179), regs. 1, 3(3) (with reg. 4)

F7 Reg. 64(2ZA)(2ZB) inserted (14.5.2018) by The Local Government Pension Scheme (Amendment) Regulations 2018 (S.I. 2018/493), regs. 1(2), 13(c)

F8 Reg. 64(2ZAB) inserted (20.3.2020 with effect from 14.5.2018) by The Local Government Pension Scheme (Amendment) Regulations 2020 (S.I. 2020/179), regs. 1, 3(4) (with reg. 4)

F9 Reg. 64(2ZC) inserted (20.3.2020 with effect from 14.5.2018) by The Local Government Pension Scheme (Amendment) Regulations 2020 (S.I. 2020/179), regs. 1, 3(5) (with reg. 4)

F10 Reg. 64(2A)-(2C) inserted (with effect in accordance with reg. 1(2)(b) of the amending S.I.) by The Local Government Pension Scheme (Amendment) Regulations 2015 (S.I. 2015/755), regs. 1(2), 22(b)

F11 Reg. 64(7A)-(7G) inserted (23.9.2020) by The Local Government Pension Scheme (Amendment) (No. 2) Regulations 2020 (S.I. 2020/893), regs. 1(2), 3(a)

F12 Words in reg. 64(8) inserted (23.9.2020) by The Local Government Pension Scheme (Amendment) (No. 2) Regulations 2020 (S.I. 2020/893), regs. 1(2), 3(b)

F13 Words in reg. 64(8) inserted (14.5.2018) by The Local Government Pension Scheme (Amendment) Regulations 2018 (S.I. 2018/493), regs. 1(2), 13(d)

F14 Words in reg. 64(8) substituted (20.3.2020 with effect from 14.5.2018) by The Local Government Pension Scheme (Amendment) Regulations 2020 (S.I. 2020/179), regs. 1, 3(6) (with reg. 4)

F15 Reg. 64(9)(10) inserted (1.6.2014) by The Local Government Pension Scheme (Offender Management) (Amendment) Regulations 2014 (S.I. 2014/1146), regs. 1(2), 5

F16 Reg. 64(11)(12) inserted (1.4.2020) by The Local Government Pension Scheme (Buckinghamshire Structural Changes) (Amendment) Regulations 2020 (S.I. 2020/123), regs. 1(2), 2(2)

F17 Reg. 64(13)-(15) inserted (1.4.2021) by The Northamptonshire (Structural Changes) (Supplementary Provision and Amendment) Order 2021 (S.I. 2021/272), arts. 1, 5(2)

F18 Reg. 64(16)-(18) inserted (1.4.2023) by The Local Government (Structural Changes) (Supplementary Provision and Amendment) Order 2023 (S.I. 2023/187), arts. 1, 4(2)

F19 Reg. 64(19)(20) inserted (1.4.2023) by The Local Government (Structural Changes) (Supplementary Provision and Amendment) Order 2023 (S.I. 2023/187), arts. 1, 5(2)

F20 Reg. 64(21)(22) inserted (1.4.2023) by The Local Government (Structural Changes) (Supplementary Provision and Amendment) Order 2023 (S.I. 2023/187), arts. 1, 6(2)

Modifications etc. (not altering text)

C1 Reg. 64 modified (1.4.2014) by The Halton, Knowsley, Liverpool, St Helens, Sefton and Wirral Combined Authority Order 2014 (S.I. 2014/865), arts. 1, 17 (with art. 8(4))

C2 Reg. 64 modified (1.4.2014) by The Barnsley, Doncaster, Rotherham and Sheffield Combined Authority Order 2014 (S.I. 2014/863), arts. 1, 14

C3 Reg. 64 modified (15.4.2014) by The Durham, Gateshead, Newcastle Upon Tyne, North Tyneside, Northumberland, South Tyneside and Sunderland Combined Authority Order 2014 (S.I. 2014/1012), arts. 1, 17

C4 Reg. 64 modified (17.6.2016) by The West Midlands Combined Authority Order 2016 (S.I. 2016/653), arts. 1(2), 14

C5 Reg. 64 modified (27.4.2017) by The Greater Manchester Combined Authority (Functions and Amendment) Order 2017 (S.I. 2017/612), arts. 1(2), 17(1)

C6 Reg. 64 modified (8.5.2017) by The Greater Manchester Combined Authority (Fire and Rescue Functions) Order 2017 (S.I. 2017/469), art. 1(3), Sch. para. 10(2)

C7 Reg. 64 modified (8.5.2017) by The Greater Manchester Combined Authority (Transfer of Police and Crime Commissioner Functions to the Mayor) Order 2017 (S.I. 2017/470), art. 1(2), Sch. 1 para. 56(2)

C8 Reg. 64 modified (1.10.2017) by The Police, Fire and Crime Commissioner for Essex (Fire and Rescue Authority) Order 2017 (S.I. 2017/864), arts. 1, 16

C9 Reg. 64 modified (E.) (1.4.2018) by The London Government (London Fire Commissioner and Policing) (Amendment) Regulations 2018 (S.I. 2018/269), reg. 1(2), Sch. para. 14(2)

C10 Reg. 64 modified (1.8.2018) by The Police, Fire and Crime Commissioner for Staffordshire (Fire and Rescue Authority) Order 2018 (S.I. 2018/696), arts. 1, 11(2)

C11 Reg. 64 modified (2.11.2018) by The Newcastle Upon Tyne, North Tyneside and Northumberland Combined Authority (Establishment and Functions) Order 2018 (S.I. 2018/1133), art. 1, Sch. 5 para. 1(10) (with art. 28)

C12 Reg. 64 modified (15.11.2018) by The Police, Fire and Crime Commissioner for North Yorkshire (Fire and Rescue Authority) Order 2018 (S.I. 2018/970), arts. 1, 11(2)

C13 Reg. 64 modified (1.4.2021) by The Hampshire and Isle of Wight Fire and Rescue Authority (Combination Scheme) Order 2020 (S.I. 2020/186), arts. 1(3), 5(2)

C14 Reg. 64 modified (1.4.2023) by The Police, Fire and Crime Commissioner for Cumbria (Fire and Rescue Authority) Order 2022 (S.I. 2022/1230), arts. 1(2), 13

[F21 Revision of rates and adjustments certificate: Scheme employer contributions E+W

64A.— (1)  An administering authority may obtain a revision of the rates and adjustments certificate under regulation 62 (actuarial valuations of pension funds) showing any resulting changes to the contributions of a Scheme employer or employers where—

(a) the funding strategy mentioned in regulation 58 (funding strategy statements) sets out the administering authority’s policy on amending contributions between valuations; and

(b) one of the following conditions applies—

(i) it appears likely to the administering authoritythat the amount of the liabilities arising or likely to arise has changed significantly since the last valuation;

(ii) it appears likely to the administering authority that there has been a significant change in the ability of the Scheme employer or employers to meet the obligations of employers in the Scheme; or

(iii) a Scheme employer or employers have requested a review of Scheme employer contributions and have undertaken to meet the costs of that review.

(2) In revising the certificate, an administering authority must—

(a) consult the Scheme employer or employers; and

(b) have regard to the views of an actuary appointed by the administering authority.

Textual Amendments

F21 Regs. 64A, 64B inserted (23.9.2020) by The Local Government Pension Scheme (Amendment) (No. 2) Regulations 2020 (S.I. 2020/893), regs. 1(2), 4

Revision of actuarial certificates: exit payments E+W

64B.— (1) Where the funding strategy mentioned in regulation 58 (funding strategy statements) sets out the administering authority’s policy on spreading exit payments, that administering authority may obtain a revision of the rates and adjustments certificate under regulation 62 (actuarial valuations of pension funds) to show the proportion of the exit payment to be paid by the exiting Scheme employer in each year after the exit date over such period as the administering authority considers reasonable.

(2) In revising the certificate, an administering authority must—

(a) consult the exiting Scheme employer; and

(b) have regard to the views of an actuary appointed by the administering authority.]

Textual Amendments

F21 Regs. 64A, 64B inserted (23.9.2020) by The Local Government Pension Scheme (Amendment) (No. 2) Regulations 2020 (S.I. 2020/893), regs. 1(2), 4

Aggregate Scheme costs: revised certificates E+W

F22 65.  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Textual Amendments

F22 Reg. 65 omitted (1.4.2015) by virtue of The Local Government Pension Scheme (Amendment) (Governance) Regulations 2015 (S.I. 2015/57), regs. 1(3)(b)(ii), 6

Supply of copies of valuations, certificates etc E+W

66.—(1) An administering authority must publish and send copies of any valuation, report, certificate or revised certificate obtained under [F23 regulations 62 (actuarial valuation of pension funds) or 64 (special circumstances where revised actuarial valuations and certificates must be obtained)] to—

(a) the Secretary of State;

(b) each body with employees who contribute to the fund in question; and

(c) any other body which is, or may become liable to make payments to that fund.

(2) An administering authority must also send to the Secretary of State—

(a) a copy of the consolidated revenue account with which the actuary was provided under regulation 62(9); and

(b) a summary of the assets of the fund at the valuation date (unless such a summary is contained in the report under regulation 62(1)(b)).

Textual Amendments

F23 Words in reg. 66 substituted (1.4.2015) by The Local Government Pension Scheme (Amendment) (Governance) Regulations 2015 (S.I. 2015/57), regs. 1(3)(b)(ii), 7