Participating employers of the Principal Civil Service Pension Scheme will face an increase in their pension costs, due to a reduced discount rate, following government efforts to control public spending.

A report released last week found smaller employers may consider decreasing basic pay to implement auto-enrolment, while experts said implementing the reform will lead to a focus on benefit structure. 

Unite is considering establishing a collective defined contribution scheme, as union groups voice their support for defined ambition benefit structures that share risk between employees.

Imperial Tobacco has increased contributions to its UK defined benefit scheme to boost its winding-up funding level, which has dropped by 12 percentage points, according to its latest valuation.

The number of FTSE 250 executives taking taxable cash supplements instead of pensions has risen, according to a survey, as the way high-earners receive benefits has changed in light of lower lifetime and annual allowance limits.