Govt delays changes to Pensions Protection Fund payouts

Payouts limited for long-serving pension members

clock • 2 min read

Long-serving workers trapped in failed defined benefit (DB) schemes are set to lose out after the government delayed changes to the compensation amounts the Pensions Protection Fund (PPF) can pay out.

The PPF, which absorbs failed workplace DB schemes, limits the compensation it will pay to individuals with more than 20 years of pensionable service. But legislation was planned to be introduced this week, which would have improved compensation for long-serving members. Former Pensions Minister Ros Altmann (pictured) told the FT the legislation, which is ready to be implemented, has been delayed due to the recent changes in government. The government experienced a reshuffle in July after Theresa May became the new Prime Minister. Altmann resigned from her post soon after to be rep...

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 Pensions

Interconnections: SIPP/SSAS taxable property

Interconnections: SIPP/SSAS taxable property

The consequences of holding taxable property in a SIPP or SSAS can be onerous and will offset the tax advantages offered by such a pension solution, warns Caitlin Southall

Caitlin Southall
clock 12 May 2025 • 4 min read
Savers can draw down target retirement income for just 11 years

Savers can draw down target retirement income for just 11 years

Report exposes retirement income gap

Jenna Brown
clock 08 May 2025 • 3 min read
State pension nears tax threshold – how can the government fix it?

State pension nears tax threshold – how can the government fix it?

'While policy change would be welcome, individual action is just as crucial'

Laura Suter
clock 06 May 2025 • 4 min read