Pension Provision and the Economic Crisis

In the wake of the economic downturn, a 2009 survey of more than 100 UK pension schemes by the National Association of Pension Funds challenges the optimistic views reported in the association’s annual survey in July last year.

In addition the NAPF has called on the British Government to give clear assurance it will act as the guarantor of last resort for the Pension Protection Fund, as it argues it is ‘unfair’ to expect existing DB schemes, already struggling with deficits and weakening employer covenants to meet the additional costs of a larger than expected demand on the PPF.