FRS17 leads to 'innovative' management of DB deficits

At a pension roundtable hosted by actuarial consultancy firm Lane Clark & Peacock (LCP), Bob Scott a partner at the firm, says the running of a DB scheme is no longer about offering benefits to employees. He says the shift of control of the schemes from human resources to finance departments shows it is now about managing the large liabilities which now, because of Financial reporting Standard 17 (FRS17), have to be declared on a balance sheet and which can limit both potential buyers and attempts to raise capital. As a result Scott suggests employers are becoming more innovative in man...