Pensions Regulator attacked over Carillion
THE Pensions Regulator (TPR) will this week come under attack from a powerful group of MPS over its failure to protect Carillion pensions prior to its collapse.
An inquiry by the joint business and pensions select committee is expected to call for the watchdog to be scrapped and its responsibilities handed to a new more powerful body that would also include the Pension Protection Fund (PPF). Westminster sources said the report on one of corporate Britain’s most spectacular implosions will be highly critical of TPR and its leadership.
Despite warnings over the parlous financial condition of Carillion and complaints from trustees about its unwillingness to address a pension funding shortfall, TPR failed to intervene before it collapsed, leaving a deficit of up to £2.6bn.
TPR, led by chairman Mark Boyle and chief executive Lesley Titcomb, last week sought to pre-empt criticism with a new corporate plan that promised “a quicker and tougher” approach and a crackdown on companies not taking their pensions regulations seriously.
A spokesman for the committee declined to comment on its findings ahead of publication.
Frank Field, the Labour chairman of the committee, warned in February that TPR’S failings over Carillion called for the Government to “look seriously at the whole state of the operation”, and said “a more effective agency or agencies to defend pensioners” is required.