Tata seeks to bend rules

Government plans to overhaul the pension scheme behind lossmaking Tata Steel could set a dangerous precedent. Natalie Stanton reports.

The government plans to overhaul the pension scheme behind lossmaking Tata Steel, despite warnings that it would set a "dangerous precedent". The plans would secure a better deal for the majority of members than entering the Pension Protection Fund (PPF) "lifeboat" and also save the PPF from taking on its biggest bailout to date.

Tata Steel UK's occupational pension scheme is viewed as a major hurdle to any rescue deal for the business, which employs 11,000 people. It has liabilities of almost £15bn, and the deficit has ballooned from £485m to £700m over the past year. The government reckons it would cost £7.5bn to buy out the scheme's benefits, which has been off-putting to potential buyers.

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Natalie joined MoneyWeek in March 2015. Prior to that she worked as a reporter for The Lawyer, and a researcher/writer for legal careers publication the Chambers Student Guide. 

She has an undergraduate degree in Politics with Media from the University of East Anglia, and a Master’s degree in International Conflict Studies from King’s College, London.