Under the new regulatory regime, it is a requirement that the trustees and the sponsors of pension schemes negotiate scheme funding according to a defined process. For some schemes these negotiations have already started; for many they are due to start shortly. What is clear is that the outcome of the first funding negotiation is critical, as it will set the benchmark for the future.

This Sessional Meeting covers pension scheme funding negotiation, with an emphasis on:

— the ways in which actuaries, trustees and sponsors can, or should, take account of the credit quality of the sponsor;

— the lessons on negotiation drawn from other areas of finance; and

— the role of the regulator.

The meeting takes the form of presentations by three speakers, taking stock of the current situation, and the discussion follows.