The BBC will pay an initial £110 million this year as part of a recovery plan to plug a pension deficit of £1.6 billion.
The recovery plan includes a payment of £60 million in each of 2012 and 2013, £100 million for the following three years, and £75 million for the following five years.
According to Jeremy Peat, chairman of the trustees of the BBC pension scheme, in a letter to the active scheme members, the deficit has grown over the last two years because the scheme’s investment returns have been less than previously anticipated, in large part due to the economic crisis.†
The trustees have been moving the scheme’s investments toward more stable assets.
He said: “I am pleased to report that the trustees have agreed a recovery plan with the BBC which is projected to make good the deficit over the next 11 years.
“I believe this schedule of payments strikes a balance between doing what is appropriate for members and ensuring that the BBC’s relationship with licence-fee payers is not damaged.”
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