Carillion schemes set to enter PPF

Trustees Agenda posted on 15 January, 2018

Carillion has 13 final salary schemes in the UK with more than 28,500 members and a deficit of £587m at the end of July last year. The pension schemes are now expected to enter the PPF.

A joint statement from the chairmen of trustees of all the Carillion schemes said: "This is obviously very disappointing news. The trustees have been very closely involved in all discussions with stakeholders over the last few months, working to protect members' interests. We will now work with PwC and the PPF to deliver detailed information to members about how their benefits will be affected, and provide them with all the support that we can."

Nigel Green, Chief Executive of deVere Group, raised concerns about the growing burden faced by the PPF, saying "Whilst the PPF is an important and valuable support, UK final salary pension schemes have an enormous deficit blackhole, which raises the inevitable question, 'how many more big hits can the PPF take?'"