KPMG chases Dunfermline pension fund
PPF should not have to step in
KPMG, as adminstrator for part of the Dunfermline Building Society, says
enough funds may be generated from the administration to save the institution’s
pension fund.
It had originally lodged an application for entry to the state-backed Pension
Protection Fund for Dunfermline’s £32.8m scheme, which is thoguht to have a
shortfall totalling up to £20m.
The unique structure of the building society meant that members of the
pension fund were ranked above the mutual’s depositers and the taxpayers in
terms of creditor repayment.
KPMG says it will raise money from the sale of an £800 million commercial
property portfolio and £300 million in mortgages. Both sets of assets are
considered “risky”.