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Death of defined benefit pension schemes

Feb 14th, 2007 by complex001

More and more employers still offering defined benefit pension schemes are in the process f shutting them down. The main reason for this is that a lot of these schemes are in a significant fund short fall and are therefore simply unable to provide the guaranteed benefits to retiring members. On closure of the defined benefit pension schemes no new members are allowed to join and the existing members are given the choice to either leave their existing fund in the scheme or transfer the fund to the new scheme. I would strongly recommend seeking professional help from a Financial Adviser to decide what to do.

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