16 December 2002
This Bill makes four key provisions to protect scheme members when occupational pension schemes are either voluntarily or involuntarily wound-up:
- To alter the current creditor priority order so that scheme funds are allocated on a fairer and more proportionate basis, according to how much a member has invested in the scheme;
- To place a levy on ‘unclaimed assets’ to fund a compensation scheme for those who have received less than their full benefits under the current winding-up rules;
- To introduce a collective national insurance based scheme (which may not be state run), which places a levy on employees; and
- To place a cap on fees paid to professionals from the fund of a scheme in wind-up.
Although this Bill was twice scheduled for its second reading, on 20th June and 11th July 2003, it did not receive parliamentary time on either occasion.
You can contact my office at the House of Commons to request a copy of this Bill