UK companies paid five times more in dividends than pensions — FT.com


Britain’s biggest companies paid their shareholders five times more than they spent tackling their pension deficits last year, according to a new analysis that is set to reignite the debate over dividend payouts.Sample the FT’s top stories for a weekYou select the topic, we deliver the news.Select topicEnter email addressInvalid emailSign up By signing up you confirm that you have read and agree to the terms and conditions, cookie policy and privacy policy.As pension shortfalls rise to new highs, research published on Tuesday showed that FTSE 100 companies with “defined benefit” schemes, which offer a guaranteed income in retirement, paid £71bn in dividends last year compared with £13.3bn in pension contributions.The survey, by Lane Clark & Peacock, the actuarial consultants, calculated that nearly a third of FTSE 100 companies could have wiped out their pension deficits in 2015 with the cash they handed to shareholders.

Source: UK companies paid five times more in dividends than pensions — FT.com

The constant shifting of wealth from the vast majority of working people is proceeding apace. It is not good for social cohesion, it is not good for the economy and it is not good for the future of the country. Mrs May needs to get a grip and heed Baroness Altmann’s call for an inquiry into company pensions. That inquiry should have trade unions as part of its membership.

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