The Pension Protection Fund (PPF) has reassured the industry that the ten million holders of defined benefit (DB) schemes in the UK are protected, following shock market activity this week.
The lifeboat fund's reassurance comes after DB schemes rushed to sell bonds to meet collateral calls on Wednesday (28 September) after an unprecedented yield surge that comes on the back of tax cuts made by chancellor Kwasi Kwarteng in the government's Mini Budget last week. The Bank of England swiftly stepped in to stabilise the long-dated government bond market, announcing yesterday afternoon that it would carry out temporary purchases to "restore orderly market conditions" - a move widely welcomed by pension schemes. Writing on Twitter today, the PPF said: "We are here to step in w...
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