Break with future salary link will cut public sector scheme liabilities by £70bn

clock

Lord Hutton could slash the cost of pensions already owed to public sector workers by breaking the link with future pay growth, Towers Watson says.

The consultant said Hutton could recommend calculating final salary pensions immediately, rather than when workers reach retirement, and increase the pension pots with inflation rather than pay inc...

To continue reading this article...

Join Professional Pensions

Become a Professional Pensions Lite Member today

  • Three complimentary articles per month covering the latest real-time news, analysis and opinion from the industry
  • Receive important and breaking news stories via our two daily news alerts
  • Hear from industry experts and other forward-thinking leaders

Are you a trustee, investment consultant or in-house pension and benefit scheme professional? You can apply for full complimentary access here

Join now

 

Already a Professional Pensions
member?

Login

More on Industry

AI will be part of solution to close member engagement gap, industry says

AI will be part of solution to close member engagement gap, industry says

SPP survey finds industry mostly believes AI will be part of the solution

Holly Roach
clock 29 May 2026 • 1 min read
Professional Pensions: Stories of the week

Professional Pensions: Stories of the week

Aon CDC paper, BPA transactions, PPI DB report and LGPS analysis by Pensions UK

Professional Pensions
clock 29 May 2026 • 1 min read
AI, advice and accountability: How trustees can protect members in a digital age

AI, advice and accountability: How trustees can protect members in a digital age

Girish Menezes looks at the rise of AI in member decision making

Girish Menezes
clock 28 May 2026 • 4 min read
Trustpilot