28. Pensions SCHEME: TPT Retirement Solutions – Social Housing Pension Scheme (SHPS) The Association participates in SHPS, a multi-employer scheme which provides benefits to non-associated participating employers. The scheme is a defined benefit pension scheme in the UK. The scheme is classified as a 'last-man standing arrangement'. Therefore, the Association is potentially liable for other participating employers' obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme. On 1 April 2018, sufficient information became available for the Association in respect of SHPS to account for its obligation on a defined benefit basis. This change on transition resulted in a re-measurement difference of £2,183k, which was recognised at the relevant date of application, on 1 April 2018, in other comprehensive income, was therefore reflected in the year ended 31 March 2019. The most recent formal actuarial valuation was completed as at 30 September 2017 and rolled forward, allowing for the different financial assumptions required under FRS102, to 31 March 2020 by a qualified independent actuary. The net defined benefit liability at the year ended 31 March 2020 is £3,230k (2019: £6,948k). PRESENT VALUES OF DEFINED BENEFIT OBLIGATION, FAIR VALUE OF ASSETS AND DEFINED BENEFIT LIABILITY
Fair value of plan assets Present value of defined benefit obligation Defined benefit liability to be recognised
Swan Housing Association Limited | Year ended: 31 March 2020
2020 £’000
2019 £’000
19,242
18,547
(22,472)
(25,495)
(3,230)
(6,948)
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