Following the implementation of the Pensions Act 2004 it is no longer possible for the University to be the sole Trustee of the Cambridge University Assistants' Contributory Pension Scheme. The legal advisers to the Scheme and the University's Legal Services Office have recommended that the best way forward is for the University to establish a trustee company, 'CU Pension Trustee Ltd' to replace 'the Chancellor, Masters and Scholars of the University of Cambridge'. The Managing Committee and the Finance Committee have made the following recommendations to the Council:
| 1. | That the registered office of the trustee company should be The Old Schools. |
| 2. | That the University of Cambridge should be the sole member of the company, in view of the fact that this will ease the administration and operation, as it will avoid the need for an Annual General Meeting and means that there will only be one body to consult on decisions. It also replicates the current situation where the other employers have agreed that the University will be considered to be the 'employer' for all matters where the 'employer' has to be consulted. |
| 3. | That the Registrary should be the Company Secretary. |
| 4. | That there should be not more than nine directors of whom the chair is to be appointed by the Finance Committee, four members are to be appointed by the Council, and four are to be appointed by the members of the Scheme. The directors will constitute the Managing Committee. |
| 5. | That the period after which the selection process should be re-run in the event of the failure to appoint an active member or pensioner member-nominated director (MND) should be six months. |
| 6. | That the directors of the trustee company should be eligible for re-election at the end of their term of office, and that the re-election process should be staggered to avoid the need for all of the directors to be re-elected at the same time. |
| 7. | That the active member MND should resign as a director of the trustee company on ceasing to be an active member of the Contributory Pension Scheme. |
| 8. | That five directors of the trustee company, to include at least two MNDs, must be present in order for a meeting of the trustee company to be quorate. |
| 9. | That the accounting date should be 31 July. |
The draft memorandum and articles of association of the proposed new trustee company and copies of the Rules of the Contributory Pension Scheme revised to take account of the change in Trustee can be obtained from the Head of the Pensions Section, 10 Peas Hill, Cambridge, CB3 3PN.
The Council is accordingly submitting a Grace (Grace 2, p. 1048) to amend the regulations for the Contributory Pension Scheme to refer to the new Trustee.