Tesco could close its defined benefit pension scheme to new members following a turbulent period for the supermarket giant.
According to The Telegraph, Tesco chief executive Dave Lewis is considering shutting the scheme – one of the few DB arrangements still open in the private sector – as part of efforts to boost the company’s balance sheet.
Tesco has been hit by falling sales in recent months and an accounting scandal last year that saw its half-year profits overstated by £250m. The supermarket is currently under investigation by the FCA.
Changes to the pension scheme could be announced as early as Thursday, when Lewis is expected to update the markets on plans to improve the company’s finances.