A group of thirty international pension experts has challenged the Pensions Policy Institute's (PPI's) claim that planned reforms will significantly reduce the gap between public and private sector pensions.
The mixture of academics and practitioners from the UK, US, Netherlands and Australia has written to the PPI to question the methods used in a report on the government plans published in October (PP Online, 23 October). The think tank said the changes would result in a fall in the average value of benefits in the public sector from 23% to 15% of salary. In the private sector, the PPI put the average value of benefits at 10% of salary. But signatories to the letter, led by consultant John Ralfe, believe the discount rate used by the PPI, which is also used by the Treasury and is based ...
To continue reading this article...
Join Professional Adviser for free
Signup and gain exclusive members-only insights
- 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
