2007 Budget comment from Pensions Expert

Anne Taylor, Head of Pensions at National Law Firm Irwin Mitchell has responded to today's Budget:

"The Chancellor of the Exchequer Gordon Brown has today increased the amount of money available to compensate people under the Financial Assistance Scheme. Some estimates suggest this is as many as 125,000 people, whose pension schemes wound up in the period 1998-2005 without there being sufficient money to pay their pensions in full.

The increase is from £2 billion to £ 8 billion - a substantial sum. Hopefully more people will also be eligible for a payout, which is designed to top up a pension to around £12,000. Let us hope this increased amount is available quickly to help those most in need - experience to date suggests this will not be the case, as only a few people have received any compensation so far."