More than a third of respondents to the GP100 Panel have experienced changes to their pensions as a result of national or local budget problems.
Some 35.71% of those questioned said they had experienced either cuts to benefits or increases to contributions as a result of economic shortfalls.
One respondent said: “Employees that worked at the pension have been furloughed, have had a pay and benefit re-duction, and an increase in their contributions. This is in line with others in the system. Additionally, the formula for calculating pensions has been made more stringent and a new ‘tier’ for new employees (was added).”
Others said their scheme had been forced to increase contributions, while one added: “Benefit changes have been legislated, impacting new employees of the pension scheme.”
Read more about the effects of austerity measures on pension funds here.
Partner Insight: A fiduciary management approach gives trustees a richness of information you can't get with a standard adviser approach, especially in times of market uncertainty, explain Russell Investments' David Rae and Paul Wharton
The PPI has unveiled a policy paper outlining current considerations and policy debates relevant to DC scheme default strategies. Kim Kaveh explores some of its views.
The £30bn local government pension pool has appointed Quoniam and Robeco to manage an active equity portfolio worth around £400m.