Whitehall officials and the Pension Regulator are meeting to discuss the implications of Carillion’s possible collapse. This is surely the key quote from the Sky website.
“Carillion has a pension deficit of roughly £580m, although this figure would be expected to rise sharply if measured according to the cost of insuring its various retirement schemes on a full buyout basis.”
Sky adds that there are 28,000 members of several defined benefit pension schemes. There are apparently 13 such schemes.
Those involved in retail financial services will be asking themselves what about transfers? Those with mid to high salaries may be unhappy to find themselves in the PPF if it comes to that, but at time of reviewing the trade websites has not yet extracted a comment from the FCA on the matter. Some members of the British Scheme Pension Scheme have already voiced concerns on social media about history repeating itself.
The FCA is arguably a little off the pace too. It is to review data from all advisers carrying out pension transfers as Professional Adviser reports. Many IFAs I speak to regularly are very worried about more reputational damage to the sector.
But the regulator is also under fire. The Work and Pensions committee has published documents it believes raise serious concerns about the FCA’s handling of British Steel transfers.
Meanwhile Money Marketing asks if the BSPS trustees could have done more to help advisers. Arguably a neglected issue up till now.
There is a lot of cynicism about WASPI on social media from some advisers and economists (and John Ralfe) as two worlds collide. It is clear that in return many women are reading the trade websites. The Lib Dems are suggesting that Waspi women receive a one-off payment of £15,000 and at time of writing was the top story on Money Marketing. It also pulled much older Waspi stories into the ‘most read’ column.
For example, the IFS report suggesting the increase in the pension age has saved the UK £5bn from a few weeks back is still high on the 'most read' chart.
TISA has shelved a scheme to help guide those with pots less than £30,000 on whether to transfer due to concerns around guiding BSPS members.
However, what could be of even more significance is the support of the new shadow pensions minister, former trade unionist Jack Dromey. He has been vocal in his support for transition measures for Waspi women in the past as posts on his own website from two years’ ago show. Labour is keen to make inroads into Tory support among older voters. Could this be the issue they choose, but can the UK afford anything more than a token compromise?
Neil Woodford suggests three stock picks with enticing valuations.
Jupiter Merlin portfolios saw outflows on £233.8 million in the last quarter admittedly from portfolios with £7.5bn.
The oil price is now above £70 a barrel.
A big call - PIMFA says auto-enrolment contributions to be raised to 12 per cent. It is going to be tough unless wages start to rise.
Leeds Building Society has withdrawn mortgage offers on shared appreciation mortgages in a property in Southend due to fire safety concerns in the wake of the Grenfell Tower disaster.