PPF take on three more pension schemes

Thursday, December 10th 2009

Three schemes were added to the Pension Protection Fund (PPF) last month, it was announced on December 10th.

A total of 107 schemes are now part of the PPF, meaning that 31,729 people are either receiving or due to receive compensation money.

The fund was established in order to pay workers whose employers had become insolvent or could not otherwise supply a sufficient pension.

Pension schemes from Butler, Clark & Co (Engineers Grimsby) and Clark & Co (Womersley Road) joined the PPF in November.

Some 275 more British people are now due to receive compensation.

A total of £6.8 million was paid out between November 1st and 30th by the PPF, with an average yearly payment of £4,000 per person.

On the same day of PPF's announcement, the Association of British Insurers published guidance for improvements to be made among pension providers.

The guidance follows 'wake-up' packs which were sent to pension customers approaching their retirement date.

Information was given to customers in simple language which explained types of annuity.

New guidance is now aiming to build on the success of the 2008 Association of British Insurers guide, it announced.