PPF creates panel to support trustees with stressed sponsors

The panel, announced on Monday, is composed of 11 specialist companies, which will also provide expert advice if a scheme is expected to enter a PPF assessment period.

These firms will advise on various issues, including covenants, restructuring, contingency planning, moral hazards, and provide transactional expertise, the PPF stated.

The pensions lifeboat explained that trustees can appoint a recommended expert panellist at an earlier stage than previously, aiming to get advice and guidance that could help prevent insolvencies where possible, so potentially reducing claims on the PPF.

Additionally, in the event of an insolvency, the panel will ensure that the scheme is fully prepared for entry into the assessment period, it added.

According to Sue Rivas, PPF’s director of scheme services, the “panel of experts will supplement the trustees’ own business as usual skills and experience”.

“We very much hope this will lead to better member outcomes, as well as extending our understanding of the issues that schemes experience pre-insolvency.”

Malcolm Weir, PPF’s director of restructuring and insolvency, said: “We believe it is important that trustees have the expertise needed to protect schemes’ interests and maximise the likelihood of delivering the best outcome for the scheme and the PPF.

“We encourage scheme trustees to recognise their knowledge gaps, and to appoint a panel trustee and/or restructuring and insolvency adviser to support them with specialist advice as early as possible.”

The 11 companies appointed – CVR Global, Dalriada Trustees, Deloitte, FRP Advisory, Independent Trustee Services, KPMG, Lincoln Pensions, Open Trustees, Punter Southall Governance Services, Smith & Williamson, and 2020 Trustees – have undergone a thorough selection process to ensure they meet the PPF’s professional standards and have all agreed to a set of terms and conditions and advantageous fee rates, the PPF stated.