EU REFORMS to pension schemes funding rules could increase occupational pension liabilities by at least £300bn, according to reports given to the Times newspaper.
The National Association of Pension Funds has written to the government and is said to have "pleaded" with them to ward off changes which are due to be introduced by 2007 and will force company pension schemes to hold sufficient assets at all times to pay out the benefits they have promised to scheme members, says the Times. At present, UK pension rules allow company pension providers to take a longer-term view on the required assets – which unsurprisingly are fewer than European counterparts. The UK rules allow company pension providers to take a long-term view of the promised benefi...
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