By Amanda Leek
The Liberata Pension Plan has announced its commencement of an assessment period for entry into the Pension Protection Fund (PPF).
The plan stated Liberata UK, the sponsoring employer, can no longer continue to fund the significant deficit in the Plan and remain in business. The plan administrators are Aon Hewitt.
Stated in a letter delivered to pensioners today, current pensioners over normal pension age (65), members receiving ill-health pensions and beneficiaries in receipt of spouse’s, dependant’s or children’s pensions will have 100 per cent compensation at the assessment date.
Everyone else, including members who took an early retirement pension and are under normal pension age at the assessment date, will receive 90 per cent compensation, capped at £29,748.68.
No lump sum death benefits are payable under the PPF.
Liberata's trustee chairman Dick Turpin said: “We will keep members informed of future developments in relation to the plan and progress being made through the PPF assessment period from time to time.”
Among the scheme members are former government workers from the 1990s when Sheffield City Council outsourced services to CSL, later taken over by Liberata.
Local government jobs and pensions were transferred over to Liberata, who were selected on the basis of evidence that their pension scheme could meet the existing local government’s scheme.