Hints and tips:
Related Special Reports
...The so-called pensions lifeboat takes over the assets and liabilities of failed companies’ pension schemes....
...But as higher interest rates improved pension scheme funding levels, prompting a record £50bn of corporate pension deals last year, some UK life insurers have passed on portions of these pension scheme assets...
...Pension schemes don’t invest enough in UK capital markets or the UK in general, in comparison with other jurisdictions,” they added....
...The House of Commons work and pensions committee said on Tuesday that just 4 per cent of the 5,100 defined-benefit pension schemes in the private sector were open to new joiners last year, down from 11 per...
...It said the public vehicle would target DB pension schemes that were “unattractive” to the private sector....
...The proposals include a requirement for defined contribution pension schemes to disclose from 2027 how much they invest in the UK....
...Funds such as the Pension Protection Fund, the UK’s £32bn-in-assets retirement scheme lifeboat, and Border to Coast Pensions Partnership, a £60bn local authority pool, are among those looking for bargains...
...But UK business has been brisk: rising interest rates have transformed funding levels in defined benefit pension schemes and enabled companies to consider offloading future liabilities....
...In fact, the UK already has in its Local Government Pension Scheme one of the largest asset-based public service pension schemes in the world....
...The OECD numbers differentiate between unfunded public sector occupational schemes like the NHS Pension Scheme in the UK, and more general social security benefits for elderly people....
...“For that reason our pension provision requires an update.”...
...The UK government’s top infrastructure adviser has hit out at a drive to push pension schemes to invest more in Britain, saying there is “no reason” funds should have a home bias....
...Assets have been pooled but pension schemes’ other functions, including administration or governance largely have not, says Steve Simkins of the consultancy Isio....
...UK pension fund values plunged by around £425bn in 2022 as bond market turmoil sparked by Liz Truss’s “mini” Budget led to forced asset selling by retirement schemes, according to a new regulatory analysis...
...As a consequence, the average pension received from that fund has been halved. Now more than 400 pension scheme members have brought a class action to the European Court of Justice....
...Known as defined contribution plans, or 401k schemes, they put the onus on employees rather than leaving companies on the hook for future payments....
...“Investment grade sterling credit is arguably the most desirable liquid investment for a pension scheme,” said Simeon Willis, chief investment officer at XPS Pensions Group, owing to its “additional return...
...“That is a promising situation,” he told the work and pensions select committee....
...“In November 2023, the UK government announced a reduction in the authorised surplus payments charge applicable to defined benefit pension schemes from 35 per cent to 25 per cent,” the oil major said....
...“It’s not going to be more efficient, but it is going to be safer [for pension schemes],” said Pete Drewienkiewicz, chief investment officer for global assets at consultancy Redington....
...Nausicaa Delfas, chief executive of The Pensions Regulator, said with more disclosure helping to spark competition between schemes, and enhanced powers to crack down on poor performers, “we can really deliver...
...The head of the UK’s National Infrastructure Commission has said he does not believe the government should tell pension schemes where to invest their members’ money....
...These, experts said, could include allowing employers to move some of their defined benefit pension surplus into their defined contribution pension scheme, or even taking money out for the business....
...The aggregate surplus of the UK’s 5,100 pension schemes was about £428bn at the end of December, according to analysis by the UK’s Pension Protection Fund....
...“Many defined contribution scheme members lack the financial education and confidence to choose their own pension provider....
International Edition