NETHERLANDS - The Dutch Association of Industry-wide Pension Funds (Vereniging van Bedrijfstakpensioenfondsen (VB)) has criticised the proposed Pensions Act (Pensioenwet / PW).
The VB’s comments were made on the grounds that some of the law’s provisions would make things worse rather than better.
The act is intended to replace the current Pensions and Savings Schemes Act (Pensioen- en spaarfondsenwet), laid down in the 1950s, in a bid to bring the legal framework for pensions up to date.
In a comment to Global Pensions, the association said that while it supported the outlines of the proposed act, likely to be implemented from January 2007, it had discerned a considerable increase in government regulation with regards to pensions.
By way of example, VB noted the legislation’s incorporation of additional buffer requirements, and its “excessively-detailed” regulations applying to the provision of information.
The association also said that the one-year time limit given to pension funds to rectify their asset liability ratio, should it fall below the prescribed 105%, was too short.
“The necessary increase in premiums to this end would have unwelcome (macro-) economic effects,” warned the association. VB also said that while there was room for improvement in the way pension funds provided information to their participants, the way in which the cabinet had interpreted this in the proposed legislation was “overkill”.
By Lisa Haines
PwC, KPMG, EY and Deloitte must break up their consultancy and audit businesses into distinct firms to provide greater focus on the "most challenging and objective audits", the competition watchdog has said.
The Department for Work and Pensions (DWP) has released its first batch of guidance setting out how the guaranteed minimum pension (GMP) conversion legislation may be used to resolve unequal payments.
This week's top stories include the government spending £800,000 on a Gogglebox advert and MPs writing to The Pensions Regulator about its engagement with the Railways Pension Scheme.