Press Release

Actuaries point to signs of higher contributions going into defined contribution schemes as bigger firms switch from defined benefit schemes

31 May 2005: The first sign of higher contributions going into defined contribution schemes is reported following the latest published results of the Association of Consulting Actuaries’ (ACA) 2005 Pension Trends Survey.  The move from defined benefit schemes shows no slackening in its pace – 68% of such schemes are now closed to new members.  However, the ACA says that average contribution rates are rising due to higher contribution rates being paid by firms seeking to reduce defined benefit scheme deficits and by larger firms entering the defined contribution scheme market.