Insolvency advice could become essential for many employers if Europe imposes Solvency II sanctions on UK pension schemes, it has been warned.
Dr Ros Altmann, director general of Saga, says the UK’s pensions system is significantly different from that of its European counterparts.
As such, Solvency II – a directive that aims to enhance consumer protection throughout the EU – could instead leave businesses on the verge of company insolvency, and put jobs at risk.
“These are not insurance schemes, so imposing insurance restrictions will ensure the employer pension promise is killed off for most workers,” says Dr Altmann.
“Solvency II rules will result in insolvency for many employers struggling to manage their pension liabilities.”
If you are affected by this or any other regulation that increases your financial liabilities for pensions and other such schemes, we can offer insolvency advice that may be able to rescue your company.
Where company insolvency becomes inevitable, we can also help you to prioritise the process so that you fulfil all of the correct obligations to employees and creditors alike.