Dáil Éireann Debate, Tuesday - 5 November 2013
496. Deputy Willie O'Dea asked the Minister for Social Protection the number of defined benefit pension schemes that failed to submit a revised plan to meet the funding standard in June 2013; the number of the schemes that did not submit funding proposals that are still outstanding; and if she will make a statement on the matter. [46024/13]
View answerThe Funding Standard as set out in Part IV of the Pensions Act requires the trustees of defined benefit pension schemes to maintain sufficient assets to meet the scheme liabilities in the event of the wind up of a pension scheme. Where a scheme fails to meet the Funding Standard, the trustees of the scheme are required to submit a funding proposal to the Pensions Board setting out it plan to restore scheme funding levels.
At the end of 2012, the annual report of the Pensions Board indicated that there were 993 defined benefits pension schemes. At the end of June 2013, 93 defined benefit schemes failed to submit funding proposals to meet the requirements of the Funding Standard. At present, 85 funding proposals are outstanding.
The Pensions Board is in on-going communication with the individual schemes. Where schemes in deficit have failed to submit a funding proposal, the Board is assessing, on a case by case basis, whether to make use of its powers under the Pensions Act which can include measures such as prosecution of the trustees for non-compliance or issuing a Section 50 order (reduction in benefits).
