View more on these topics

PPF proposals to make levies “fairer”

The Pension Protection Fund has proposed using longer-term risk when calculating protection levies for pension schemes in a bid to make bills fairer.

Currently the PPF assesses the probability of a scheme’s sponsoring employer going bust during a one-year period.

But it wants to assess the probability over a five-year period as well, taking account of the risk a scheme’s investment strategy poses.

PPF chief executive Partha Dasgupta says: “Our levy payers have given us a strong message that the current system does not differentiate enough between schemes and that levy bills should be less volatile. These proposals will change the distribution of the levy among schemes to more accurately reflect the risks that we face – there are a similar number of schemes that will pay more as will pay less.”

If accepted, the proposals will be implemented in 2011/12.


Crash course

Wriglesworth attacked the practice of comparing house price data against income as a means of assessing affordability. He said this method clouds the situation.


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm