DB & DeriskingRSS

Nuclear sector DB schemes reform to go ahead after 5-year delay

Si Barber/Bloomberg

The House of Lords has approved amendments to the energy bill that will allow the two nuclear public sector schemes to be reformed in line with government policy, five years after originally planned.

TPR overhauls DB funding in biggest shake-up for a decade

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CPD: Stephanie Hawthorne explains the regulator’s proposed new defined benefit funding regime and what changes schemes and sponsors can expect.

Chemical company scheme agrees £430mn buy-in

News on the go

On the go: The Tioxide Pension Fund has agreed to a £430mn buy-in with Legal & General.

Govt refuses to commit to increase auto-enrolment contributions

Toby Melville/Reuters

The government has refused to commit to increasing minimum auto-enrolment contributions, despite acknowledging that the current statutory contribution of 8 per cent is “unlikely to give all individuals the retirement to which they aspire”.

LDI turmoil could reduce DB schemes’ investment in illiquids

Luke MacGregor/Bloomberg

The fallout from the September market turmoil will be “wide-ranging” for UK defined benefit schemes, with regulatory changes influencing their capacity to invest in less-liquid growth strategies, according to a new report from Bloomberg Intelligence.

New DB funding code could cost employers up to £34bn

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The Pensions Regulator estimates that the defined benefit funding code could have a cost for employers of up to £34bn, which has prompted LCP to call on the government to give more time to sponsors to adjust to the new regime.

Full scheme buy-ins to dominate market in 2023

News on the go

On the go: With many defined benefit schemes advancing in their derisking plan due to higher gilt yields, WTW is expecting full scheme buy-ins to dominate a “busy market”.

TPR delays investment data collection from DB schemes

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The Pensions Regulator will not be collecting data on fiduciary management and investment consultants from defined benefit schemes as part of its 2023 scheme return, which can present a “gap in compliance”, experts have warned.

‘Nightmare’ inflation eases slightly to 10.5%

News on the go

On the go: The rate of inflation dropped slightly in December as the price of fuel and clothing eased. However, concerns are growing that wage rises are embedding inflation into the economy.

LDI funds sold £23bn of gilts during market turmoil

Frank Augstein - WPA Pool/Getty Images

Liability-driven investment funds sold £23bn of gilts in three weeks during the market turmoil in 2022, with pooled funds being forced sellers, Andrew Bailey has revealed.