Pension scheme members face losses

FOUR out of five defined benefit pension schemes were in deficit at the end of 2009 as investments and funding proved “too aggressive”.

This means just over 200,000 members of defined benefit schemes faced losses on their retirement nest eggs at the end of last year.

In its annual review, the Pensions Board said it is very concerned with the effect on defined contribution and defined benefit schemes of investment losses since 2007, especially defined benefit schemes’ obligation to tackle deficits.