Maxwell Pension Funds (Hansard, 23 June 1992)

§ Ms. Mowlam
To ask the Secretary of State for Social Security what contributions have been made to the trust fund set up by his Department for the benefit of Maxwell pension fund members.

§ Miss Widdecombe
The formal arrangements for establishing the trust fund are currently in hand and we shall be announcing details of the first contribution shortly.

§ Mr. Win Griffiths
To ask the Secretary of State for Social Security, pursuant to his answer of 12 June,Official Report, column 315, if he will list the number of people, other than those in the Maxwell pension schemes, whose pensions are threatened because the assets of these schemes are not able to meet the pension payments and future commitments; how many schemes are involved; and what examination has been made of how far problems have arisen because of ineffective management, improper management or some other reason.

§ Miss Widdecombe
The information requested is not routinely available, in the form requested, from the 300,000 occupational pension schemes currently in operation. Safeguards exist in trust law to protect the interests of members of schemes. The trustees have a duty to act at all times in the interests of all the beneficiaries of the scheme in accordance with the trust deed.
In addition, in the case of a scheme that is used for contracting out of SERPS, the Occupational Pensions Board is required to satisfy itself that the schemes' resources are sufficient to meet the guaranteed minimum pension liability to members. To satisfy themselves that this is the case the board relies on certificates signed by actuaries and submitted to them every three and a half years. Additionally, in the case of self-administered schemes, an annual statement, signed by the scheme administrator, auditor or trustees, is required concerning the audit of scheme accounts, the receipt of contributions, and any self-investment or concentration of investment.
A detailed analysis of scheme management is not normally carried out by the Department but the exceptional nature of the problems surrounding the Maxwell pension schemes has led to close links being established between this Department and those schemes.