3.—(1) Regulation 64 of the 2013 Regulations (special circumstances where revised actuarial valuations and certificates must be obtained) is amended in accordance with paragraphs (2) to (6).
(2) In paragraph (2)(b), for “exit credit payable to the exiting employer in respect of those benefits”, substitute “the excess of assets in the fund relating to that employer over the liabilities specified in paragraph (2)(a)”.
(3) Omit paragraph (2ZA).
(4) Before paragraph (2ZB), insert—
“(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.”.
(5) After paragraph (2ZB), insert—
“(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.”.
(6) In paragraph (8), in the definition of “exit credit” for “the amount required to be paid to the exiting employer by the administering authority”, substitute “any amount paid to the exiting employer by the administering authority”.