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Buck launches pioneering GMP equalisation solution, Square

UK

New solution ensures efficient, accurate and cost-effective delivery of  GMP equalisation for Defined Benefit pension schemes

Buck, a leading consulting, administration, and technology services firm specialising in pensions and employee benefits, has today announced the launch of its Guaranteed Minimum Pension (GMP) equalisation solution, SquareTM .

The pioneering solution has been developed following a landmark ruling by the High Court in October 2018 (and an additional ruling in December 2018) mandating that UK DB pension schemes must equalise for GMP benefits between men and women.

Through Square, Buck is able to work alongside Trustee and Company advisers to provide a one-off, self-contained project to deliver GMP equalisation for schemes. The solution delivers a list of all member benefit adjustments, a clear and concise summary report for the Trustees and Company, as well as quantification of the financial impact for the scheme.

It also addresses the complex technical implications and uncertainties of GMP equalisation efficiently and at a low cost. Trustees and Company Sponsors will have access to resources such as a GMP Scorecard, providing a clear and concise explanation of the equalisation process, including a summary of the key aspects of GMP equalisation and any immediate actions which schemes need to address.

David Piltz, UK Managing Director at Buck, says:
“The landmark High Court judgement at the end of last year on the need to equalise GMP benefits for men and women was a defining moment for the DB industry. An overwhelming majority of pension schemes in the UK have GMP benefits, meaning the ruling on GMP equalisation presents a significant challenge for the sector to ensure schemes fully comply with this legal requirement.

“At Buck, we recognise that undertaking GMP equalisation has the potential to be a complex, costly, and time-consuming process, with some advisers quoting three years or more to resolve the issue. Through Square, and supported by a large, dedicated team of GMP equalisation specialists, we offer an accelerated standalone solution that allows us to work with existing advisers efficiently and effectively to resolve the GMP equalisation challenge and ultimately benefit all stakeholders, including pension scheme members.”

Jack Freker, Chief Executive Officer at Buck comments:
“Through the extensive experience of our UK team in providing actuarial consulting services and our strong heritage in delivering practical solutions, Square will deliver GMP equalisation to affected pension schemes in a flexible and cost effective way. With Buck, Trustee and Company advisers will benefit from an ahead-of-schedule resolution to this complex issue, quickly bringing their plans into compliance.”

About Buck
Buck is an integrated HR and benefits consulting, administration, and technology services provider. Headquartered in New York City, with global operations, Buck is focused on helping its clients realise the best organisational performance for their business while driving positive health, wealth, and career outcomes for their people. For additional information, visit www.buck.com.

Media contact:
Rostrum
Taneesha Pawar/Max Daniels
+44 (0)20 7440 8670
buck@rostrum.agency