Turner & Newall Pension Rescue
Pension Protection Fund to rescue T&N pensions?
11th July 2006
Over 35,000 members of the Turner & Newall pension scheme may be celebrating a rescue of the insolvent company's pension scheme if an application to the Pension Protection Fund (PPF) is successful.
The PPF acts as a safety net for insolvent pension schemes, and T&N's pension trustees have now formally applied to it for a rescue of the troubled fund which is carrying a £150m deficit.
If the application is successful, which will be decided after a 12 month holding period, pensions already in payment will be guaranteed at their current level, while members who have not yet retired will be offered 90% of their originally expected entitlement.
A spokesman for the pension trustees said that while it was disappointing for scheme members to lose some of their entitlement, the figures stack up favourably when compared to the 70% losses previously faced.
Read More: BBC : T&N pension fund heads for rescue
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