Regulatory changes alarm pension industry
Pension industry consultants are alarmed at proposed regulatory changes which reflect rapidly improving life expectancy
Pension industry consultants are alarmed at proposed regulatory changes which reflect rapidly improving life expectancy
Pensions industry consultants are alarmed at proposed new regulatory guidance
released yesterday, under which schemes would have to make assumptions about
liabilities using mortality data, which reflect a life expectancy of 89 years.
The
Pensions
Regulator formally announced the proposals, which call for special scrutiny
to be applied to schemes that do not assume members will live at least as long
as the age in a key actuarial table, known in industry shorthand as PA92 long
corhort, according to the Financial Times.
The proposals, combined with new accounting rules, place pressure on
companies to substantially increase funding for schemes, according to John
Davies, Association of
Chartered Certified Accountants head of business law.
Marcus Hurd, a senior Aon consultant, said: ‘If companies were to…adopt the
pension regulator’s proposed assumptions, then 99% of companies would need to
strengthen their assumption. The effect would be to increase the UK’s reported
pension liabilities by at least £75bn ($146bn) immediately.’
Further reading:
BT risks pension deficit to balloon to £4.6bn
New rules to shake up accounting for pensions
Read
the story in the Financial Times
The numbers you crunch tell a story. Your expertis...
16yEmbracing user-friendly AP systems can turn the tide, streamlining workflows, enhancing compliance, and opening doors to early payment discounts. Read...
View articleOrganisations can enhance their financial operations' efficiency, accuracy, and responsiveness by adopting platforms that offer them self-service cust...
View articleIn a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...
View resourceDiscover how AP dashboards can transform your business by enhancing efficiency and accuracy in tracking key metrics, as revealed by the latest insight...
View articleThe ICAEW confirms new vice president, with senior heads appointed at KPMG and EY. Within the mid market, a flurry of end of year partner appointments...
View articleThe ICAEW confirms new vice president, with senior heads appointed at KPMG and EY. Within the mid market, a flurry of end of year partner appointments...
View articleThis follows an investigation into undisclosed personal loans and issues with an acquisition. Despite challenges, the company aims to achieve £1bn in ...
View articleThe ICAEW confirms new vice president, with senior heads appointed at KPMG and EY. Within the mid market, a flurry of end of year partner appointments...
View articleThere is optimism that the IPO market will rebound in the second half of 2024, driven by pent-up demand and potential improvements in economic conditi...
View articleThe ICAEW confirms new vice president, with senior heads appointed at KPMG and EY. Within the mid market, a flurry of end of year partner appointments...
View articleKPMG confirms reappointment of it's UK chair, while EY announces Janet Truncale as the next EY global chair and CEO Read More...
View articleThe ICAEW has announced the appointment of its forthcoming chief executive Read More...
View article