A taskforce to tackle the problems faced by defined benefit (DB) pension schemes is launched today by the Pensions and Lifetime Savings Association (PLSA).
The group is seeking views and evidence from schemes of all sizes, as well as sponsors, regulators, government and intermediaries to address the issues affecting DB schemes such as funding and regulatory challenges.
The taskforce will be chaired by Ashok Gupta, former deputy chair of the Bank of England's Procyclicality Working Group, and supported by industry experts and academia.
Gupta said: "There is broad consensus that the pensions sector should provide long-term sustainable outcomes for members and act as a powerful engine of growth to the economy.
"It is clear however, that for some time pension schemes have been grappling with a wide range of challenges, including scheme funding, changing regulatory requirements, and an uncertain macro-economy. These have hampered their ability to deliver this commonly agreed principle.
"The taskforce, which I am delighted to chair, will consider these issues in depth, and seek solutions that enable UK schemes to cut through the Gordian knot that we face today."
The group intends to report its initial findings in the summer and then at the PLSA annual conference in October to announce recommendations to the government to ensure DB pensions are sustainable in the long run.
Joanne Segars, chief executive at the PLSA, said the difficulties facing DB schemes "aren't going away any time soon".
"The issue cannot be ignored because there are around 16 million people in DB schemes and the health of those schemes can also have a material effect on employers, government and the wider economy," she added.
