Discontinuance
The cost of operating defined benefit pensions schemes has continued to increase as a result increased legislation, lower investment returns and increasing life expectancy.
FRS17 and IAS19 disclosures have made pension costs much more transparent which, in turn, has made the volatility of pension assets and liabilities less acceptable for companies and their shareholders.
These factors have caused employers to review their pension provision, such reviews frequently leading to a decision to cease to provide final salary pension benefits.
Spence & Partners have considerable experience guiding employers through this process
