New NESO scheme appoints sole trustee
Image: aitoff/Pixabay
Pardon the Interruption
This article is just an example of the content available to mallowstreet members.
On average over 150 pieces of new content are published from across the industry per month on mallowstreet. Members get access to the latest developments, industry views and a range of in-depth research.
All the content on mallowstreet is accredited for CPD by the PMI and is available to trustees for free.
The National Energy System Operator has started operating a defined benefit pension scheme for 125 former members of the National Grid Electricity Group of the Electricity Supply Pension Scheme. The public agency has appointed a sole trustee and expects to take on existing assets in three months’ time.
National Grid Electricity Transmission plc, which sponsors the NGEG section, undertook a consultation on the changes with the members that are affected before members were moved to the new scheme on 1 April.
NESO is a publicly owned company created last October to oversee the planning and design of the UK's electricity and gas networks under one roof, following its purchase by the government from National Grid Group. It took on more than 2,000 employees from National Grid.
Under the terms of the business separation the Warwick-based quango, which also has offices in Wokingham and Glasgow, had to provide employees who were members of the NGEG with similar DB pensions. There is no intention that any members from other pension schemes will transfer into the new scheme, which is also closed to new joiners.
After conducting research, NESO appointed Pan Trustees as a corporate sole trustee, while Isio was appointed as administrator and investment adviser. The investment strategy for the NESO scheme is currently being discussed.
The appointment of dedicated providers allowed NESO to tailor the member services and experience it provides to this group of employees, the spokesperson noted.
NESO is currently working with the trustees of the NGEG scheme to transfer assets accrued until 31 March into the NESO scheme around July 2025, so employees’ pension entitlements are in one place.
Does the creation of new quangos typically lead to new pension funds?
