Latest Press Reports

[Jane Tordoff]

These are the latest press reports.

[Jane Tordoff]

Another press report

[Clive Williams]

Another press report

Interesting that both Halcrow and PPF have instructed Wilberforce Chambers, something of a conflict of interest?

[finneyb]

Interesting that both Halcrow and PPF have instructed Wilberforce Chambers, something of a conflict of interest?

source   wiki https://en.wikipedia.org/wiki/Chambers_(law)
' In England and Wales, New Zealand, Australia, India and Hong Kong, chambers may refer to the rooms used by a barrister or to a group of barristers, especially in the Inns of Court.[3] Barristers cannot form partnerships or companies, and are therefore regarded as self-employed sole practitioners. To share costs and expenses, barristers typically operate fraternally with each other, as 'chambers'. Chambers are administered by barristers' clerks who receive cases from solicitors and agree on matters such as fees on behalf of their employers; they then provide case details to the barristers.[4]

Some chambers specialise in particular areas of law.....'

I think it reflects the fact that Wilberforce Chambers specialise in Pensions 
 

[Stephen Brichieri-Colombi]

Another (Inaccurate) report form the Daily Mail  2016-06-07
ENGINEERING PENSION CUTS
ENGINEERING firm Halcrow is making cuts to pensions for its thousands of savers in a bid to keep itself afloat.
It is slashing its 5pc pension fund annual increases under a new scheme, and will instead link them to the Consumer Prices Index – a key measure of the cost of living – which in April was 0.3pc.
The 3,300 pension savers will be given a one-off boost of 2.5pc to their savings to soften the blow, should they choose to join Halcrow's new scheme.
(Most of the pensions in payment are not linked to CPI, not do we know if the new scheme is in fact Halcrow's)

[John Ratsey]

A brief mention of Halcrow in the attached press cutting from the Financial Times.

[Jane Tordoff]

Latest press report

[Jane Tordoff]

HPS reference  in Financial Times report of 2 June

[John Ratsey]

John Ralfe has another article in the Financial Times. Given that it's behind a wall and hence difficult to read, the original text is here.

[Clive Williams]

John Ralfe's article does not paint a rosy picture of the new scheme, suggesting that this action is simply "kicking the can down the street". If the new scheme is relying on investment performance outstripping the markets we might end up having our pension put on the favourite at the Doncaster races.

[sreevesjc]

Quote: TPR (The Pensions Regulator) claimed they informed all "directly affected parties" of the granting of the RRA and of a 28-day time limit within which to appeal to the Upper Tribunal. However, they did not consider the HPS members or the HPA solicitor to be directly affected parties...

What kind of brain dead organisation is TPR? So having our pensions cut by unilateral imposition of RRA doesn't affect us? That decision (not to inform us) must be liable to judicial review surely?

[sreevesjc]

John Ralfe : Recurring theme is 'accept it or go bust'. More blackmail.

CH2M prospectus issued 22 April 2016 accepts ongoing pension deficit in risks and these have been factored in. It doesn't state anywhere that any part of the business is going into administration. Failure to disclose such intention undermines validity of the prospectus. 

Turnover in 2015 $5.361 billion. Profit $134.8m or $80.4m (page 7, 112). Page 138: 'Contributions to defined benefit pension plans $37.1m'. There are three US plans as well as HPS. A further breakdown on page 165 shows net cost of $19.6m for non-US plans.

So its not going to bust the company but will dent profit margin. Inconvenient. 

[Jane Tordoff]

http://www.fieldfisher.com/publications/2016/06/tata-steel-offers-new-approach-for-distressed-business-pension-schemes#sthash.nhDnrFLu.dpbs

[finneyb]

Members might like to note the following quote by Mrs Justice Asplin at the secret Court hearing of 2015

"The fact that the legislation permits the benefits in payment to be reduced on winding-up does not mean that the members' right to the benefits has been reduced."

These are the rights HPA is now pursuing.

ref  https://www.sackers.com/pension/pollock-v-reed-high-court-18-december-2015/

[Jane Tordoff]

http://www.telegraph.co.uk/business/2016/06/21/port-talbot-steelworks-sale-at-risk-as-ppf-attacks-pensions-shak/


This article shows that the PPF is concerned about setting precedents, which the proposed HPS deal would also do.