PPF to reduce pension payments for cash-strapped companies - 14th Dec

clock

CASH-STRAPPED companies will be able to reduce their payments to the Government's pensions lifeboat in return for promising their headquarters to their final salary scheme, according to the Times .

This will be part of new rules to be announced on Friday, when the Pension Protection Fund (PPF) will update companies on the size of its first risk-based levy, says the paper. Actuaries predict the figure will be £150 million higher than the £300 million originally set out by the Government. Lawrence Churchill, the chairman of the PPF, is expected to tell companies they can reduce their share of the levy by “pledging” assets such as property to their pension fund, cutting its deficit. This would reduce the risk posed by the company to the PPF, which was set up in April to cover colla...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on uncategorised

Building Society-owned Newcastle Financial Advisers acquires Openwork firm

First of a number of acquisitions

Hannah Godfrey
clock 09 December 2019 • 1 min read

Bond managers fear hedges being undermined as liquidity dries up

The recent sell off in the bond market and growing liquidity issues have forced bond investors to use similar hedging techniques, undermining their effectiveness and causing concerns about how much downside protection funds really have.

Anna Fedorova
clock 03 July 2013 •

Police launch investigation into mortgage middleman fined £1m

West Midlands Police have launched a fraud investigation into a Birmingham financier over his role in sale and rent back agreements.

clock 25 June 2013 •