After years of consultation and dither, the government two weeks ago finally gave the go-ahead to pension superfunds: gigantic consolidation vehicles that could in theory mop up legacy pension funds by the score. It then took Andrew Bailey, governor of the Bank of England, a mere week to throw a spanner into the machinery.
Mr Bailey, in a leaked letter to Thérèse Coffey, the work and pensions secretary, said the new regime for superfunds failed to offer “adequate protection” to individual pensioners. It also, he said, posed a risk to financial stability.
Article by Patrick Hosking from the Times. Read the full article here