Stoneport has been purpose-built to deliver a combination of cost saving and risk reduction not previously available to DB pension schemes. It does this by bringing different employers’ schemes together to form one larger, stronger scheme.
To achieve these transformational benefits, each employer joining Stoneport must meet the Covenant Test. The test requires each employer to demonstrate they are strong enough to support the pension obligations they are bringing to Stoneport and also, that they could handle an immediate, material shock to their scheme’s financial position (and still pass the test).
This test is first applied before a scheme joins Stoneport, and then again in the run up to centralisation, which is targeted to occur on 31 December 2022.
To help schemes and their employers quickly understand their eligibility for Stoneport, and early on their journey to joining, we have developed a straightforward process that is designed to provide parties with a quick and clear indication. Schemes need simply provide us with the:
- Latest actuarial valuation report for the pension scheme; and
- Name (and company number) of the sponsoring employer who would join and support their obligations within Stoneport.
To submit your scheme and employer’s information to assess eligibility for joining Stoneport please email these two details to firstname.lastname@example.org and the team will be in touch shortly regarding your next steps.
If you need any more guidance on the entry criteria or joining process, please contact us at email@example.com. We are here to help.