CBI responds to defined benefit pension proposals
The CBI today commented on Government proposals to address soaring defined benefit pension scheme deficits.
Neil Carberry, CBI Director for Employment, said:
“Given pension schemes pay benefits over 80 to100 years, regulation has to reflect this. Too much of our current approach to regulating and pricing pension schemes assumes that the situation today will persist for a century.
“Injecting economics into what up until now has been a purely actuarial debate will increase business confidence, allowing more investment in growth and jobs. We’re pleased the Government has listened to the CBI on this.
“The best form of protection for employees’ benefits is a thriving solvent employer. Giving the Pensions Regulator a statutory objective to promote growth and allowing for short-term market fluctuations in scheme pricing will ensure that employer affordability will be at the heart of its regulatory strategy.”
Notes to Editors:
The CBI is the UK's leading business organisation, speaking for some 240,000 businesses that together employ around a third of the private sector workforce. With offices across the UK as well as representation in Brussels, Washington, Beijing and Delhi the CBI communicates the British business voice around the world.