Huge deficits mean around 600 pension funds are certain to collapse in the next decade, according to the Pensions Institute at Cass Business School. It says another 400 are also at risk. These funds have combined deficits of around £45 billion, a figure which could potentially overwhelm the PPF rescue fund.
Britain’s blue chips are dishing out billions more in dividends to shareholders despite a crisis in their pension funds. One investment group analysis shows that 54 companies in the FTSE 100 index have handed out £48billion to investors in the last two years despite having a £52 billion pension black hole.
Another commentator said that insufficient contributions to pension funds could leave companies with hefty liabilities which could drag on future performance and, ultimately, lead to staff receiving lower pensions if the business runs in to difficulties and enters administration.
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It’s 10 years on from the Northern Rock collapse. But have we all become complacent enough again to believe that the banks are now too big to fail. Well wake up and look at the facts.
When relocating to a new country, it’s good to know all your options so you can ensure you have the smoothest transition possible. For one thing, there’s the financial side to worry about.