| Gold-plated pension schemes threatened by £100bn deficit |
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By James Salmon and Becky Barrow Workers hoping for a comfortable retirement are set to suffer as more pension schemes are closed The black hole facing Britain's biggest gold-plated pension schemes has soared to £100 billion for the first time, shocking research revealed today. Experts warn the ballooning deficit will trigger the closure of even more pension schemes over the next year, a blow for loyal workers dreaming of a comfortable retirement. One expert described the massive deficit as 'another nail in the coffin' of gold-plated pensions in the private sector. The research, from the pensions experts Aon Consulting, looks at the deficit or surplus of the 200 biggest defined benefit pension funds in the private sector. Its latest figures show the deficit has jumped to £103billion, the biggest black hole in the history of pensions funds. Aon's research highlights the speed of the crisis facing pension funds. At the start of the year, there was a surplus of £6billion. To put it into this context, the current deficit is equal to the entire annual salaries before tax of more than four million workers on average earnings of £25,000. Marcus Hurd, head of corporate solutions at Aon Consulting, said the figures are 'an unwelcome Christmas present for all those with an interest in UK final salary pensions.' He added: 'Despite rising equity markets, the costs 'The aggregate deficit continues to rise and the pensions black hole is deepening.' The research comes as the list of companies closing their gold-plated pension, known as a 'defined benefit' scheme, continues to grow at an alarming pace. They are so attractive to workers because they promise to pay a percentage of a worker's earnings on retirement. After a decade of closures, just 11 per cent of workers in the private sector have a defined benefit pension, and the number is falling fast. By comparison, more than 90 per cent of the public sector has a gold-plated pension scheme. Many public sector workers resent the description of their pension as 'gold-plated', pointing out that they are poorly paid and will not get a generous pension. But experts point out they are lucky to get a pension at all. Less than 30 per cent of private sector workers have a pension scheme. In the private sector, gold-plated pensions are being replaced by cheaper alternatives known as 'defined contribution' schemes which offer no guarantee. Barclays, Morrisons and Dairy Crest are among the many companies to have jettisoned final salary pension deals in recent times. Only a handful of Britain's top companies - notably Shell and Cadbury - have yet to retreat from final salary plans, which aim to pay up to two-thirds of pay to local workers. For pensioners, they are particularly attractive because they are pretty much inflation-proof which means the value of their pension does not erode with time. Under rules which govern this type of pension scheme, they must be increased by at least 2.5 per cent every year. Tom McPhail, head of pensions research at the financial advisers Hargreaves Lansdown, said: 'Some of those companies will manage to close their deficits but it is almost certain that they will end up closing their final salary schemes within the next few years. 'The hash reality is that final salary schemes have been consigned to history. This is another nail in the coffin.' The problem facing companies trying to pay generous pensions to their workers is summed up by the crisis facing British Airways. The latest valuation of its two company pension schemes revealed a deficit of £3.7billion, which is £1.5billion more than the troubled airline is currently worth. Please can I try to help you now. Transfer your UK pension offhsore www.qropsolutions Call Chris Plumtree on +34 692886223 or email at This e-mail address is being protected from spambots. You need JavaScript enabled to view it |
Spain still most popular
Spain is still the most popular destination for overseas property seekers, new research has revealed.Property portal Prime Location has said that 30 per cent of all searches in November were for Spain, with France in second place on 29 per cent and the US in third with 21 per cent.The overall tally of
Markets
There are markets along the Costa del Sol every day except Sundays and these usually operate from about 9/10am until about 2pm. They tend to be manned by the same stall holders who set up their stalls somewhere different every day and then pack them away about 2pm only to start all over again the next morning.
You will find a wide range of goods on sale such as clothes, shoes, towels and blankets, ceramic pots and dishes to mention just a few. The prices tend to be fixed but if you think they are too high you may managed to barter with a few of the sellers - they may claim not to speak English but most of them have some knowledge of the language.Below we have created a complete list of markets on the Costa del Sol by day. There are also flea markets on some days which sell some old Spanish items which you may find interesting.
Costa Del Sol Markets
What do the markets offer?
Vegetable and fruit: If you are a lover of fresh fruits, nuts, olives, vegetables, herbs and flowers then the weekly town and village markets are the best places to buy it. You can’t find it cheaper anywhere or better quality else.
Ceramic and Pottery: Andalucía produces a lot of ceramic and pottery. Every region