Plumbing Pensions Scheme to Close in 2019
As of 30th June 2019, the UK plumbing industry pension scheme will be closing to future accrual, Plumbing Pensions has announced.
The news means that members of the scheme won’t be earning any new pension benefits after the closure and is set to affect around 2,500 employees.
From 1st July 2019, all employers need to auto-enrol employees into a new pension arrangement.
The Plumbing Pensions scheme has been running for 40 years and during that time has gained assets of £2billion and almost 35,000 members.
Plumbing Pensions Chief Executive, Kate Yates said: “It is sad that we need to close the Plumbing Pensions Scheme after so many years of being able to offer good value, low-cost pensions to plumbers. Our aim has always been to run the scheme in the most responsible way to ensure members receive all the benefits they are due in full. The Trustee and the Constituent Organisations that jointly decide the scheme’s benefits have looked at all the options and consulted with employers.
“They believe that closing the scheme from 30 June 2019, and not letting members build-up any new benefits, is the most responsible and practical way to protect members’ benefits for the future. We want to reassure members that the scheme is in a very good financial position with enough money to pay all member benefits built-up to now, and the decision to close the scheme to future accrual helps safeguard that position.”