The Pension Protection Fund has made its first direct payments to members of occupational pension schemes who lost some or all of their pensions.
The first three pension schemes to transfer into the PPF are Chilton Scotland, Padiham and BDH.
PPF chairman Lawrence Churchill says the move marks the final stage in the development of the fund. He says: “There will be a continuous flow of schemes completing their assessment period and their pensioners will feel reassured that their income every month comes from a known, trusted and stable source.”
Pensions minister James Purnell says: “The Pension Protection Fund was introduced by the Government to safeguard the savings of millions of people contrib-uting to defined-benefit occupational schemes and these payments show that it is doing just that.”
Pension expert Ros Altmann says: “It is great that people are getting money from the PPF but those who lost all or most of their pensions before the PPF have not had a penny. If the PPF had been set up years ago, it would have saved a lot of misery.”