Everybody Benefits Framework Contract Procurement

REPORT TO; Assistant Chief Executive, Business Support and HR

DECISION DATE: 9 March 2026

SUPPORTING ANNEX; This report includes a supporting Annex which contains exempt information as described in paragraphs 1 and 3 of Part 1 of Schedule 12A to the Local Government Act 1972 (as amended).

PROPOSED RECOMMENDATION

To undertake a procurement exercise for the Shared Cost Additional Voluntary Contributions scheme. The current contract arrangements end on 2 May 2026.

BACKGROUND TO SUPPORT THE RECOMMENDATION

The contract for the Council’s current Shared Cost AVC scheme expire on 2 May 2026. The authority is looking to re-procure a provider for this scheme.

There are currently 518 employees with salary sacrifice agreements in place for this scheme.  The continued offer will ensure current and future employees retain the option of saving towards their retirement on top of their LGPS, while making savings on their tax and National Insurance contributions.  The council also achieves savings via employer national insurance savings arising from those participating in the scheme and the reduction on their gross pay.

The decision to be taken relates to procurement of the scheme which has a significant published contract value, with the council paying costs to administer the scheme as a percentage of the value of the salary sacrificed sums.  Based on current council costs and trends in increasing employee participation, this will potentially reach and go beyond £500k over the course of the contract of 4 years.

This is an in/out spend resulting in the council saving on the participation rather than spending from existing budgets.

LEGAL AND GOVERNANCE COMPLIANCE

The procurement exercise will be undertaken by the Council’s Procurement and Contract Management Service, with a Gateway report considered in accordance with the Council’s Procurement and Contract Procedure Rules.

This is a key decision. The Shared Cost AVC scheme contract was entered on the forward plan in February 2026.

RECOMMENDATION

To procure a contract for the Shared Cost AVC Scheme.

Everybody Benefits Contract Procurement

Anna Cowan, Principal HR Adviser

5 February 2026