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.
The court of appeal has ruled to uphold a crown guarantee given to the BT Pension Scheme, making the government responsible for ongoing liabilities should the employer fail.
Comment & Analysis
Talking head: The regulator's Andrew Warwick-Thompson sets out the detail of the watchdog's renewed push against pension liberation scams, which he reveals have resulted in one scheme member taking his own life when a promised lump sum did not materialise.
In this edition of Informed Comment, PASA's Margaret Snowdon argues the guidance guarantee should be brought in for all major benefit choices, such as joining or leaving a pension scheme, and delivery need not be restricted to regulated advisers.
Threadneedle Investments' Jim Cielinski takes pension fund investors through the building blocks of a strong multi-asset or multi-sector credit strategy, in this week's Technical Comment.
Video: Simon Howard, chief executive at sustainable investment trade body UKSIF, and Ralph McClelland, senior associate at Sackers, discuss the Law Commission's report on fiduciary duty, including the impact of its distinction between financial and non-financial factors (5:37).
Video: Mark Fawcett, chief investment officer at Nest, discusses the state-sponsored mastertrust's forthcoming consultation on how its investment strategy should change in light of the Budget reforms (5:03).
Video: Neil Carberry, director for employment and skills at the CBI, gives the employer's view on this year's historic pension changes, from the at-retirement flexibility bestowed by the Budget to the government's plans on defined ambition (5:38).
The Cut: latest posts
The DC Debate
- Webb: pension reform far from over
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- Local government schemes reject forced passive CIV proposals
- Snowdon: 'unseen army' of non-IFAs could deliver guidance guarantee
- EE closes scheme to future accrual on affordability concerns