Pensions

[DimPrawn]

http://news.bbc.co.uk/1/hi/business/7976590.stm

The Pension Protection Fund (PPF) has rescued its 100th pension scheme since the fund was set up in 2005.

The PPF is designed to provide a safety net for insolvent final-salary pension schemes in the private sector.

It is now directly responsible for paying more than 30,000 current or future pensioners, with another 290 schemes being assessed for rescue.

The 100th scheme to be bailed out was that of the Bristol-based firm Brooks Service Group, with 343 members.

The PPF's chief executive, Partha Dasgupta, said it was a major achievement.

"Losing your job can devastating - but the situation can be made much worse if you stand to lose your pension as well," he said.

"That 100 schemes have now transferred to the PPF demonstrates clearly that we are doing what we were set up to do: protecting people's pensions when their employers go bust," he added.

The fund pays 100% of accrued pensions to people who have reached their own scheme's pension age, but those who have not retired yet are guaranteed to receive only 90% of their pension entitlement.



How long before the pension protection scheme itself folds?

[AlfredJPruffock]

What happens if you are an employee of the Pension Protection Fund and have a pension with the Pension Protection Folks and they thne go bust ?

Who or what do you turn to ?

The Whip ?
Pills ?
Drink ?

PS thank goodness I dont have a pension

[TimberWolf]

These are the good years for pensions too.

[Solidec]

Final Salary pensions, biggest con on future generations ever designed!

There is absolutely zero sound financial justification for their existance whatsoever, yet the mere mention of scrapping them in favour of more orthodox contribution based pensions and entire swathes of mena and women across the country vociferate in furious anger!

What gives?

[moorfield]

The obesity crisis will sort out this demographic timebomb for us I think. Expect ZanuLabour to start doling out pie & chip vouchers once the gold has run out and all our wheelbarrows are broken. Brings a new spin on the meaning of "inflating the economy". I'm off to register www.fatcoffins.com now for my new Plan B.

[Solidec]

The obesity crisis will sort out this demographic timebomb for us I think. Expect ZanuLabour to start doling out pie & chip vouchers once the gold has run out and all our wheelbarrows are broken. Brings a new spin on the meaning of "inflating the economy". I'm off to register www.fatcoffins.com now for my new Plan B.

One can only hope: I venture to guess that the economically inactive % amongst obese people is a helluva lot higher than the % amongst normal people!

Kill the fatties off quicker and the welfare state will shrink (pun intended) propertionatley

[Cyberman]

Final Salary pensions, biggest con on future generations ever designed!

There is absolutely zero sound financial justification for their existance whatsoever, yet the mere mention of scrapping them in favour of more orthodox contribution based pensions and entire swathes of mena and women across the country vociferate in furious anger!

What gives?

Nothing wrong with final salary pensions because they guarantee a sum at retirement. The major problem is that most are not available now to new entrants, except in the public sector. Thanks Broon !!

[Solidec]

Nothing wrong with final salary pensions because they guarantee a sum at retirement. The major problem is that most are not available now to new entrants, except in the public sector. Thanks Broon !!

How is there nothing wrong with Final Salary Pensions when their are predminately funded by future employees contributions?

They were thought up in the cuckoo days of guaranteed investment returns and delusions of never ending economic growth.

Pensions should be FULLY FUNDED by their contributor and ONLY grow from investment returns, NOT be guaranteed from future employee contributions (or wrt Public Sector, taxpayers dosh!)

[Cyberman]

How is there nothing wrong with Final Salary Pensions when their are predminately funded by future employees contributions?

They were thought up in the cuckoo days of guaranteed investment returns and delusions of never ending economic growth.

Pensions should be FULLY FUNDED by their contributor and ONLY grow from investment returns, NOT be guaranteed from future employee contributions (or wrt Public Sector, taxpayers dosh!)

Mine is fully-funded by mine and company contributions, and most achieved their required funds via growth prior to Brown's raid in 1997 which has removed almost 200 Billion pounds from pension funds. The company that I worked for continues to add multi-millions each year to ensure it is adequately funded for present and future pensioners.

The fact that most no longer achieve the necessary growth can be laid firmly at Brown's door. That is the reason most in the private sector have now closed to new entrants, except of course in the public sector where the taxpayer is expected to pay for these now totally unaffordable pensions.