From IDS Pensions Bulletin 202, February 2007

Company news

• WH Smith closes final salary scheme to future accrual
• P&O Pension Scheme benefits from special payments
• Former chairman of the Ericsson trustees board banned by the Pensions Regulator

Regulatory round-up

• PPF levy proposals for 2007/08

Contribution rates to DC are rising fast

The average annual contribution paid to a defined contribution occupational pension scheme last year was £2,981 for employees in 68 DC schemes. Comparison with earlier surveys shows that DC contribution levels have been increasing at a rate that is significantly faster than average earnings. In this research we have also calculated the average value of members’ individual funds, and found this to be £12,643.