Pension Protection Fund levy to incorporate investment risk

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Investment risk may soon be factored into the risk-based levy UK pension funds have to pay to protect policyholders against their insolvency, depending on the results of a consultation launched by the Pension Protection Fund (PPF).

The Croydon-based PPF's proposals for a new bottom-up approach to the calculation of the levy are part of its strategy to become self-sufficient by 2030 – the point at which it expects the majority of its liabilities to have crystallised. It also came as a response to

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