ScottishPower closes pension scheme
One of the few remaining FTSE 100 companies to offer a final salary pension to new employees has announced that it will henceforth close the scheme to new members.
ScottishPower will also ask more than half of the current members of its final salary scheme to increase their contributions.
Trade Unions are angry as the company’s pension fund deficit is only £150 million, which is considered very manageable in relation to its £10.1 billion market capitalisation.
The closure of the scheme to new members also comes ahead of a promised £2.5 billion return of cash to shareholders.