26 August 2010
The Pension Protection Fund (PPF) is aiming to become
financially self-sufficient by 2030. The target was identified in
the long-term funding strategy released on 25 August
2010.
The PPF Chief Executive, Alan Rubenstein, said:
"This strategy makes public the work we have been doing
behind-the-scenes since we opened our doors for business more than
five years ago."
"We think it is important that we expose our plans so we can
show how we intend to ensure we have the financial resources needed
to pay existing levels of compensation to current and future
members of the PPF - and become self-sufficient by the time the
level of risk to the PPF from future insolvencies has reduced
substantially."
The PPF also aims to build up a reserve to protect itself
against future claims and to have eliminated its exposure to
interest rates, inflation and other market risks.
The funding target is to be achieved by a mixture of the annual
pension protection levy, investment returns and the assets of
schemes brought into the PPF.
Progress will be measured on an annual basis and if targets are
not going according to the plan, it may review the objective or
other areas which may affect it.
For further information about the PPF click here
