Commentary on Sections Scheme funding Section 227: Schedule of contributions
820.Subsection (1) provides that the trustees or managers must prepare, periodically review and, where necessary, revise a schedule of contributions. Subsection (2) provides that a schedule of contributions is a statement setting out the contribution rates payable to the scheme by or on behalf or the employer and the active members of the scheme, and the dates on or before which the contributions are to be paid.
821.Subsection (3) enables regulations to specify the period within which the schedule must be prepared, reviewed, and if necessary revised, and the period for which the schedule is to be in force. It is intended that the period to be covered by the schedule will be five years where the valuation shows that the statutory funding objective was met.
822.Subsection (4) contains a regulation making power to prescribe further requirements in relation to the schedule. The intention is to use this power, for example: to require the employer to sign the schedule; and to require that contributions relating to the recovery plan to make good a deficit are shown separately on the schedule.
823.Subsections (5) and (6) require the actuary to certify the schedule of contributions where he is satisfied that it is consistent with the statement of funding principles; and where he is satisfied that the rates of contributions in the schedule are such that:
	where the valuation shows that the funding objective was not met, the statutory funding objective can be expected to be met by the end of the period in the recovery plan determined by the trustees or managers; or
	where the valuation shows that the funding objective was met, the statutory funding objective can be expected to continue to be met for the period covered by the schedule. The schedule will not be in force until the actuary has so certified it.
824.The schedule will not be in force until the actuary has so certified it.
825.Subsection (7) requires the trustees or managers to send, within a reasonable period, a copy of the schedule of contributions to the Regulator if the valuation shows that the statutory funding objective was not met.
826.Subsection (8) empowers the Regulator to impose a penalty on trustees or managers who do not take reasonable steps to comply with these requirements.
827.Subsection (9) requires an actuary who is unable to certify the schedule of contributions to notify the Regulator within a reasonable period and empowers the Regulator to impose a penalty on an actuary who fails to comply without reasonable excuse.
828.Where the Regulator has imposed a schedule of contributions under the power conferred by section 231, subsection (10) of this section disapplies certain provisions of this section.