Brightwell comments on the government’s announcement to maintain the pension fund clearing exemption for the longer-term
Today (10 January 2025) the government announced that it will take forward secondary legislation to ensure that the pension fund clearing exemption does not expire on 18 June 2025 as currently scheduled and to remove any further time limit on the exemption.
Commenting on the announcement, Wyn Francis, CIO, Brightwell said: “The government’s announcement to maintain the pension fund clearing exemption for the longer-term will be welcome news for pension schemes and their sponsors.
“The industry has consistently made the case for a permanent exemption and having greater certainty is good news.
“An expiration of the exemption would have required pension schemes to hold more cash which would have reduced pension schemes’ investment options and impacted investment returns. It would also have increased costs due to the direct costs involved in clearing trades.”
Published:
10 / 01 / 2025
