P&O Ferries pension liabilities increase could sink firm

An overall loss of £14.7m caused by pension contribution charges and a rising pension deficit could lead to P&O Ferries being in danger of folding.

First reported in The Mail on Sunday, the companies pension schemes’ combined deficits increased from £67.1m at the end of 2017 to £92.5m a year later.

This was partially driven by a £27.9m charge for pension contributions.

KPMG auditor, Tom Eve, who conducted the report on the firm, warned that his report “did not guarantee that the company will continue in operation”.

P&O Ferries’, which is owned by Dubai ports operator DP World, company accounts warned that a rise in its pension liabilities and the uncertainty surrounding the possibility of a no deal Brexit could threaten the company’s future.

Its accounts revealed that the firm made a pre-tax profit of £13.2m before the pension contribution charge and turnover rose by £10.6m to £145.2m.

When contacted by The Mail on Sunday, P&O Ferries declined to comment.

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