Contingent Asset Security

 

Client

A University

 

Objectives

  • Help an employer to reduce their contributions by granting security over assets to a scheme

  • The sponsoring employer wanted to reduce their scheme contributions due to changes in the Government funding that they received.

Solution

We helped identify that a strong asset base might provide some flexibility.  An actuarial valuation supported this and led to the scheme receiving security over a number of properties.  This enabled the trustees to accept a longer recovery plan with lower initial contributions.  There was also a beneficial side-effect of the charge being made PPF (Pensions Protection Fund)-compliant which reduced the employer’s Levy.

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Contact us:

Call: 0845 313 0024