Pension fund administration services

Description

Procurement of a supplier of pension administration services for Royal Mail Statutory Pension Scheme (RMSPS). This scheme is managed by the Authority. The RMSPS transferred to the public sector in April 2012 and the current contract expires in March 2017. The Authority is looking for innovative proposals to respond to this significant pension administration services opportunity. This procurement is solely for the pension administration services to the RMSPS. The successful pension administrator will be expected to work with Royal Mail Pension Plan's (RMPP) pension administrator, Royal Mail Group Limited (RMG), with regard to those members who are beneficiaries in both RMSPS and RMPP. RMSPS is currently the 6th largest public sector pension scheme in the United Kingdom. The RMSPS has approximately 402 000 deferred members and pensioners. Approximately 116 000 of these are also members of the RMPP. The scheme has no active members so there are no accruing costs or contributions. Pension Administration services are required for the following two membership profiles:-(1) RMSPS scheme members with no benefits in the RMPP (which amounts to approximately 286 000 members comprised of 116 000 deferred members and 170 000 pensioners) and (2) RMSPS scheme members with benefits in the RMPP (which amounts to approximately 116 000 members comprised of 97 000 deferred members and 19 000 pensioners).The pension administration services required for membership profiles 1 and 2 include the following:- accounting services, administration services, interactions with members, member communications (including managing and operating a helpline, issuing benefits statements, annual pension increase letters, printing services and also scheme leaflets), pension payroll services (bulk and individual payroll services) and reporting. Membership profile 2 includes the supplementary requirement for the successful tenderer to work with RMPP's pension administration services provider with regard to those members who are beneficiaries in both the RMSPS and RMPP. The nature of this collaboration and possible data exchanges are yet to be fully defined. This will also require interaction with RMG and Post Office Limited as employers of RMSPS beneficiaries as well as liaison with any scheme medical advisor that may be appointed by the Authority. The tender documents will include more information on these requirements. Interested applicants should note that the current intention of the Authority is to seek a fixed price and whilst the Authority has no specific requirements for innovation/web functionality, the Authority will be looking for a supplier who can invest in these with a view to improving service and driving long term efficiencies in the cost base. Interested applicants should also note that the tender documents may require the tenderer to provide one or more options; one of which would be to cater for a scenario where Royal Mail Pensions Trustees Limited (RMPTL) might transfer administration of the RMPP to the successful tenderer obtained through this procurement, however, no representation is made that this is being discussed by the Authority with RMPTL. The Authority also intends to extend its existing contract with RMG to cover the anticipated implementation period of up to 18 months after award of contract. Instructions on how to access the Selection Questionnaire (‘SQ’) documentation for this procurement is provided at section VI.3) Additional information.