26 March 2009
Ernst &Young, the administrators to Nortel Networks UK, have
revealed that the company now has a pension scheme deficit of
£1.5bn following its collapse in January.
Independent Pensions Consultant, John Ralfe, estimates that this
will result in the Pension Protection Fund (PPF) taking a
£900m hit from the collapse of the company, although expected
administration process recoveries should reduce this figure to
£500m which would still double the PPF's last reported
deficit of a year ago.
