The trustees of the Morris Ashby pension scheme have entered into a pension insurance buyout agreement with the Pension Insurance Corporation (PIC).
The pension fund, which has 480 members and liabilities of £38 million, after its former sponsor JL French UK entered into insolvency in 2006.
Following the insolvency, the pension fund has been in Pension Protection Fund (PPF) assessment, which will enable members to have their benefits secured with PIC and for the fund to cease its relationship with the PPF in due course.
Esther White, chairman of trustees, said: “We are delighted that we have been able to secure members’ PPF-level benefits with a secure and innovative insurer such as PIC.
“Despite being in the PPF’s assessment period for a number of years we had to move quickly to lock into a level of benefits as pension insurance became affordable.
“PIC has been very supportive and responsive during this transaction, providing a streamlined approach and a structure to help us manage our execution risks within the constrained pot of assets available to us. I am very pleased that we have been able to secure our members’ benefits with them.”
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