Thank you very much for your reply. This is not a post-92 university however but a 'smaller research intensive' university..Anyway, it is good to know it is not a generalised model.
It is shaped around the RAE/REF. They hire people that can enhance the profile and contribute publications in time for the RAE and they keep them -no strings attached- for the next research excercise...
the talk they give new employees about the probationary period is all about targets: there is a specific amount of money one is expected to contribute through research income within 5 years, apart from publications, teaching, admin, etc.
I wish you luck. All the muttering I hear is that research money is going to get very tight in the near future - but once you are out of probation I cannot really see how you can be kicked out for not getting research funding. Even though it is a not a 'tenure' system, it is still difficult to get rid of academic staff in the UK except for cases of demonstrable financial hardship. I guess it might slow your promotion to SL, but 5 years to SL would, in any case, be exceptional in my field.