EMI Group reaches agreement on pension scheme funding

The trustee of the EMI Group pension fund has reached an agreement with the EMI Group regarding the long-term funding of the scheme, avoiding a hearing before the determinations panel of The Pensions Regulator.

A multi-year payment plan has been agreed between EMI and the trustee to provide £197 million in additional funding to the pension fund, including an immediate £16 million.

The agreement between the two parties was presented to The Pensions Regulator and, being satisfied as to its terms, the scheduled hearing before its determinations panel has been cancelled.

The final payment under the plan will be made in April 2016.

Peter Murphy, partner at Sacker and Partners, who acted for the trustee, said: “The funding of final salary pension schemes in the current economic climate is a difficult and sensitive issue for many employers and trustees alike. 

“But the members of those schemes deserve to know a plan is in place for ensuring the security of the pensions that have been promised to them.

“It is tremendous news for everyone associated with the EMI Group pension fund that agreement has finally been reached in relation to its future funding.

“In the four years it has taken to reach this agreement, the trustees have worked tirelessly to achieve the best outcome they could possibly secure for their members.”

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