Theresa May reveals plans to avoid a repeat of the BHS pension scandal
The Pensions Regulator to be given new powers under Ms May's proposal
by Abi Moses on 1st May, 2017 if ($blog_item->blog_updated_date != '0000-00-00 00:00:00'): ?> and updated 30th November, -0001 12:00am endif; ?>
In an attempt to prevent a repeat of the infamous British Home Stores pension scandal, UK Prime Minister, Theresa May has revealed plans to give the Pensions Regulator new powers to stop "irresponsible bosses" like former BHS chief, Sir Philip Green.
Green, labelled the "unacceptable face of capitalism" took in excess of £400m in dividend payments from BHS before the billionaire sold the firm to Dominic Chappell for £1 back in 2015. The collapse of the high street giants had left a huge pension deficit of £571m.
Although Green has agreed to pay £363m to settle the BHS pension scheme, calls for him to be stripped of his knighthood continue.
The Tories' General Election manifesto will include plans to enable the Pensions Regulator to both scrutinise company takeovers and "unsustainable" dividend payments to shareholders. Ms May will also give the Regulator the power to block any company takeover if it poses a threat to the firm's pension scheme.
Ms May confirmed, "Today I am setting out our plans, if elected, to ensure the pensions of ordinary working people are protected against the actions of unscrupulous company bosses. Safeguarding pensions to ensure dignity in retirement is about security for families, and it's another example of the choice in this election.
She then continued by questioning the leadership of some of her fellow party leaders, Labour leader, Jeremy Corbyn in particular. The Prime Minister said, "Strong and stable leadership delivering for Britain, or a coalition of chaos led by Jeremy Corbyn, which can't get the right deal for Brexit, and risks our growing economy with higher taxes, fewer jobs, more waste and more debt."
Theresa May's plans come just a few days after the OECD had called for Britain's wealthy to lose their state pension. The Paris-based Organisation for Economic Co-operation and Development (OECD), believe that state pensions should be increased and to raise the funds, the top 5-10% wealthiest pensioners in the UK should lose their benefit.