Week ending 4 January 2019
Single Financial Guidance Body launches
In an effort to consolidate government-sponsored financial guidance, the Single Financial Guidance Body (SFGB) officially launched on 1 January 2019. SFGB combines The Money Advice Service, The Pensions Advisory Service, and Pension Wise. The aim of the service is to provide a streamlined approach to offering help to people managing their personal finances. However, whilst each organisation has been brought under one name, they currently continue to exist under their original identities, and the SFGB will be renamed at some point during 2019.
Whitbread to contribute up to £380 million
Following the sale of Costa to the Coca-Cola Company, Whitbread has reportedly reached an agreement with the Trustee of the Whitbread Group Pension Fund to make a one-off contribution of up to £380 million. This contribution will significantly de-risk the scheme’s investment strategy and replace the current recovery plan – which requires a total of £326 million in contributions from Whitbread over the next four years.
Extension to plumbing scheme ban
A six-month extension has been agreed to the ban put in place by the Trustee of the Plumbing and Mechanical Services (UK) Industry Pension Scheme. No participating employers are allowed to exit the scheme before 30 June 2019, following a rule change originally agreed in January 2018 to protect the covenant of the £2 billion scheme.