• Home
  • Admin/Tech
  • Benefits
  • Buzz
  • DB
  • DC
  • Diversity
  • Investment
  • Law & regulation
  • Risk reduction
  • Events
  • Pensions Library
  • PPTV
  • Newsletters
  • Sign in
  • Events
    • Upcoming events
      event logo
      Defined Contribution Conference 2018

      This exclusive one day conference will provide a comprehensive overview of the evolving DC landscape, and examine how Trustees and Pension Scheme Managers can overcome the challenges they face

      • Date: 25 Apr 2018
      • The Bloomsbury Hotel, 16-22 Great Russell St, London WC1B 3NN, London
      event logo
      Investment Conference 2018

      Professional Pensions Investment Conference has gathered a great following and is a widely respected event which brings together senior decision makers within public and private sector pension schemes.

      • Date: 16 May 2018
      • Grand Connaught Rooms, London
      event logo
      UK Pensions Awards 2018

      Make a date in your diary. These awards are the single largest gathering and a veritable 'who's who' of the corporate pensions industry in the UK.

      • Date: 23 May 2018
      • Hilton Park Lane 22 Park Lane, Mayfair, London W1K 1BE, London
      event logo
      Pensions and Benefits UK 2018

      The very best solutions to pension and employee benefit issues and only discovered when pension’s management, benefits management, finance and HR work together. That's why Pensions and Benefits UK is the industry’s must attend event.

      • Date: 26 Jun 2018
      • The Brewery 52 Chiswell Street London EC1Y 4SD, London
      View all events
      Follow our Professional Pension Events

      Sign up to receive email alerts about our events

      Sign up
  • Pensions Library
    • Latest white papers
      Emerging-market debt: Our outlook for 2018 - and beyond

      Emerging-market (EM) bonds delivered strong returns in 2017, and we think the sector has more potential in 2018. From Sao Paulo to Shanghai, improving economic fundamentals and smarter policies are leading to healthier economies. Even so, global economic and geopolitical risks abound, making it more important than ever for investors to be selective.

      Download
      Ten questions to help trustees to challenge their advisers
      The trustee role can be viewed as similar to that of a non-executive director; they are expected to make decisions on a range of topics. 
      The challenge here is that trustees are unlikely to reach a stage where they are as knowledgeable on every topic as the advisers who are presenting them with recommendations.
      Download
      Find whitepapers
      Search by title or subject area
      View all whitepapers
  • Sign in
    •  

      You are currently accessing ProfessionalPensions via your Enterprise account.

      If you already have an account please use the link below to sign in.

      If you have any problems with your access or would like to request an individual access account please contact our customer service team.

      Phone: +44 (0) 1858 438800

      Email: [email protected]

      • Sign in
     
      • Newsletters
      • Account details
      • Contact support
      • Sign out
     
  • Follow us
    • RSS
    • Twitter
    • Newsletters
  • Register
  • Subscribe
Professional Pensions
Professional Pensions
  • Home
  • Admin/Tech
  • Benefits
  • Buzz
  • DB
  • DC
  • Diversity
  • Investment
  • Law & regulation
  • Risk reduction
  •  

    You are currently accessing ProfessionalPensions via your Enterprise account.

    If you already have an account please use the link below to sign in.

    If you have any problems with your access or would like to request an individual access account please contact our customer service team.

    Phone: +44 (0) 1858 438800

    Email: [email protected]

    • Sign in
 
    • Newsletters
    • Account details
    • Contact support
    • Sign out
 
Professional Pensions
  • Law and Regulation

UPDATED: TPR reaches deal with Sir Philip Green over BHS pensions worth £363m

  • Michael Klimes
  • Michael Klimes
  • @MikeKlimes_PP
  • 28 February 2017
  • Tweet  
  • Facebook  
  • LinkedIn  
  • Google plus  
  • Send to  
0 Comments

The Pensions Regulator (TPR) has reached a deal with Sir Philip Green over the British Homes Stores (BHS) pension schemes.

The arrangement will see Green provide £363m funding for a new independent pension plan to give pensioners the option of the same starting pension as they were originally promised by BHS, and higher benefits than they would get from the Pension Protection Fund (PPF). 

Under the terms of the deal, members will now be given three options: to transfer to a new pension scheme that will give pensioners the same starting pension as was offered by the original BHS schemes; opt to take a lump sum if they have a small pension pot of up to £18,000 in total value; or remain with their current scheme, currently in the PPF assessment period, and receive at least PPF benefit levels

Related articles

  • Have your say: Which type of DC scheme is best?
  • Brunel launches manager search for £1.8bn of active equity mandates
  • RPMI Railpen invests £7m in Community Fibre
  • TPR to prosecute brewery for failing to provide financial information
  • Like Minds hires senior communication consultant

The full details of the agreement can be seen here in a 'quick quide' to the BHS pensions settlement

As a result of this settlement, the regulator's anti-avoidance enforcement action against Sir Philip Green, Taveta Investments Limited, and Taveta Investments (No. 2) Limited, will cease. Enforcement action continues in respect of Dominic Chappell and Retail Acquisitions Limited.

TPR chief executive Lesley Titcomb said:  "The agreement we have reached with Sir Philip Green represents a strong outcome for the members of the BHS pension schemes. It takes account of the interests of both pensioners and the PPF, and brings a welcome level of certainty to present and future pensioners.

 "Throughout our discussions with Sir Philip and his team, we have always been clear that we were determined to achieve the right outcome for members of the schemes both in terms of the amount and the structure of the settlement."

In a statement Green said: "I have today made a voluntary contribution of up to £363m to enable the trustees of the BHS Pension schemes to achieve a significantly better outcome than the schemes entering the PPF, which was the goal from the outset.

"Once again I would like to apologise to the BHS pensioners for this last year of uncertainty, which was clearly never the intention when the business was sold in March 2015.

"I am also happy to confirm that any of the pensioners that have faced cuts over the last year will now be brought back to their original BHS starting level pension and will all be made whole." 

"I hope that this solution puts their minds at rest and closes this sorry chapter for them."

The settlement comes after a period of intense negotiation between the watchdog and Sir Philip.

PPF chief executive Alan Rubenstein added: "This settlement for the BHS pension schemes, agreed between Sir Philip, TPR and the trustees, with the involvement of the PPF, relieves the PPF's levy payers of the cost of meeting the initially reported shortfall.

"TPR will be monitoring the new scheme and members will be protected by the PPF."

Last November TPR begun formal enforcement action against Green and others involved in the BHS saga.

It has sent warning notices or statements of its case to Green, Taveta Investments Limited, Taveta Investments (No. 2) Limited, Dominic Chappell, Retail Acquisitions Limited (RAL).

This came more than four months after Green told MPs he would "sort" out the pension deficit when he appeared in front of MPs on 15 June 2016 in a marathon six hour evidence session. 

His appearance was part of a long and widely covered joint inquiry into the collapse of BHS by the WPC and Business, Innovation and Skills (BIS) committee.

In a report published last July, MPs pointed the finger at Green and concluded he was ultimately responsible for the insolvency of BHS.

  • Tweet  
  • Facebook  
  • LinkedIn  
  • Google plus  
  • Send to  
  • Topics
  • Law and Regulation
  • BHS
  • TPR
  • Sir Philip Green
  • The Pensions Regulator

Latest stories

Question marks
Have your say: Which type of DC scheme is best?

In this week's Pensions Buzz, we want to know whether you think a contract-based, trust-based or a master trust arrangement would be best for a new defined contribution scheme.

  • Defined Contribution
  • 24 April 2018
Equity markets performance
Brunel launches manager search for £1.8bn of active equity mandates

The £28bn Brunel Pension Partnership has opened a tender for active equity managers to oversee around £1.8bn of the pool's assets.

  • Defined Benefit
  • 24 April 2018
Fiber Optic
RPMI Railpen invests £7m in Community Fibre

RPMI Railpen has injected £7m of new equity into full-fibre internet service provider, Community Fibre.

  • Investment
  • 24 April 2018
Samuel Smith Old Brewery (Tadcaster)
TPR to prosecute brewery for failing to provide financial information

The Pensions Regulator (TPR) is to prosecute Samuel Smith Old Brewery and chairman Humphrey Smith for failing to provide information and documents for an ongoing investigation.

  • Law and Regulation
  • 24 April 2018
Back to Top

Most read

Samuel Smith Old Brewery (Tadcaster)
TPR to prosecute brewery for failing to provide financial information
Two people fitting a jigsaw piece with another
Capita to merge HR businesses into single division as part of transformation plan
What TPR's new cyber security guidance means for trustees
Scam
Two scammers jailed after coaxing savers to transfer £1m to fake scheme
LDI indices launched to 'improve governance and transparency'
  • Contact Us
  • Marketing solutions
  • About Incisive Media
  • Terms and conditions
  • Privacy and Cookie policy
  • RSS
  • Twitter
  • Newsletters

© Incisive Business Media (IP) Limited, Published by Incisive Business Media Limited, New London House, 172 Drury Lane, London WC2B 5QR, registered in England and Wales with company registration numbers 09177174 & 09178013

Digital publisher of the year
Digital publisher of the year 2010, 2013, 2016 & 2017