Whitbread reaches agreement on pension fund valuation

Premier Inn and Costa Coffee owner Whitbread has come to an agreement over the group's pension fund on the triennial valuation as at March 31st last year.

It has been agreed that the valuation shows a funding deficit on an actuarial basis of £521m compared to £388m at the last triennial valuation.

MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free

https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

To provide further security to the pension fund scheme, Whitbread will grant an additional charge of £180m in favour of the fund on Whitbread properties, taking the total amount charged to £408m. The Trustee of the fund has agreed that the amount secured by this additional charge will reduce if the deficit decreases.

Shares were trading 0.24% lower at 2,086p by 14:28.

MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.