UK - Members of the Ballast Wiltshier Retirement Benefit Plan - who are set to lose 70% of their benefits - are lobbying the government for pension compensation.
The scheme, which has 300 pensioners and 1400 deferred members, has been put into wind-up after administrator Deloitte & Touche said it was unable to meet contribution claims.
Independent Trustee Services – appointed to represent scheme members at the stricken construction firm – said members could expect only 29% of benefits. The scheme has assets of £42m with members expecting payouts of £98m.
Ballast UK was placed in administration in October last year when its Dutch parent, Ballast Nedam, cut its ties with its beleaguered subsidiary.
Under changes to priority orders for scheme wind-ups, which came into force in May, Ballast member benefits will be higher than the initial estimated payout of 17%.
But ITS claims further compensation is unlikely.
It expects members to be ruled out from qualifying for the government’s Financial Assistance Scheme – set up in May to provide compensation for workers who lost pension savings when their firms collapsed.
ITS believes the rescue package will not cover funds which began wind-up after May 14 – the date the compensation scheme was announced – and the introduction of the Pension Protection Fund next year.
ITS said two smaller Ballast funds – including the Nedam Pension Scheme – were in administration but had not yet been forced into wind-up.
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