Saving the UK’s defined benefit (DB) pension schemes is going to be high on the agenda of the forthcoming Accounts Summit to be held by the National Association of Pension Funds (NAPF).
The organisation has revealed that it is to discuss "better methods" for valuing pensions and ensuring the survival of DB schemes at the event.
Lindsay Tomlinson, chairman of the NAPF, said: "Current accounting standards have been very damaging to defined benefit provision, leading many companies to close their schemes.
"Pension funds are long term institutions but today’s accounting standards fail to reflect this. The NAPF wants to find a better approach to pension accounting that balances transparency with a less volatile assessment of assets against long-term liabilities."
Concerns about accounting standards in the DB pension market could lead a number of trustees to take out a scheme such as equity release to ensure a comfortable retirement.
Such schemes allow homeowners to access some of the value of their property assets.
