Green urged to recycle refund

MP Frank Field has demanded Sir Philip Green ploughs more money into the BHS pension scheme if £15million is shifted back to the billionaire as part of his £363million settlement agreement.

The veteran, who chairs parliament’s work and pensions committee, said the agreement struck between The Pensions Regulator (TPR) and the retail entrepreneur, would see £15million returned to Sir Philip if 90% of eligible pension fund members take a winding-up lump sum instead of buying an annuity.

Analysis by the committee suggests the Arcadia boss could receive as much as £13million even if as many as 20% decide against taking the lump sum. Findings also show that 16BHSexecutiveswith the largest pensions will benefit the most from the out-of-court settlement because they will not see their benefits capped, which would have occurred if the scheme had fallen into the Pension Protection Fund.

It comes after Sir Philip made a voluntary personal cash payment of £343million towards improved benefits to the pension scheme members, and made available an additional £20million towards implementation costs.

It follows the collapse of BHS, which impacted 11,000 jobs and around

“It is clear Sir Philip prioritised his loyal senior managers”

19,000 pension holders. Mr Field said: “IhopeSir Philip will recycle any refund back into the scheme as BHS pensioners will still be facing cuts in the benefits for which they paid.

“It is clear that Sir Philip prioritised his loyal senior managers, who have had the PPF cap on high pension benefits completely removed.”