From IDS Pensions Bulletin 216, June 2008

Company news

• Unite ballot rejects Royal Mail’s pension plans
• WCIF and NAPF challenge VAT on investment management services
• P&O offers cash incentive to transfer

Regulatory round-up

• Consultation paper on extending the Pensions Regulator’s powers is issued

Average pensions reach £5,472 pa

Analysis of the most recently available annual reports and accounts published by the trustees of occupational pension schemes shows that the average pension-in-payment has risen to £5,472 pa and the total spending on pensions by these schemes rose by 4.4 per cent. The findings are based on the data provided by 204 schemes with a combined pensioner membership of 2.4 million.

Buy-out market could exceed £10 billion in 2008

Pension Buyouts 2008, a report from actuarial consultants LCP, reveals that the market for transferring pension scheme risk to an insurance company has accelerated sharply over the past six months and is expected to continue to grow rapidly.

Comment

Helen Sudell, Editor of IDS Pensions, looks at some of the issues facing employers wanting their defined contribution arrangements to become qualifying schemes under the personal accounts regime.