BHS pension fund deficit: further evidence published by Committees
20 June 2016
The Work and Pensions and Business, Innovation and Skills Committees publish a further series of written evidence, detailing the negotiations and assurances that were made about the pension fund deficit around the sale of BHS to Retail Acquisitions Ltd, including successive drafts of the "Points of Principle" of the sale showing reductions in the promised contribution to the pension fund.
Olswang's pre-purchase and due diligence reports to RAL outlining the issues around the pension fund deficit and detailing the Trustees' concerns about the impact of the sale on the pension fund: letters from the BHS Pension Fund Trustees, TPR (The Pensions Regulator) and the PPF (Pension Protection Fund) correcting evidence given by Chappell et al on 8 June 2016; further information submitted by Arcadia on Deloitte's work on Project Thor; and correspondence from Dominic Chappell around the potential financiers knowledge of the pension fund issues.
- From BHS Pension Fund Trustees re 8 June 2016 evidence session
- From Pension Protection Fund re 8 June 2016 evidence session
- From the Pensions Regulator re 8 June 2016 evidence session
- Dominic Chappell emails to Paul Budge on pension issues
- Olswang's pensions risk matrix showing Trustees' concern that sale was "materially detrimental" to pension fund
- Olswang's purchase issues
- Successive drafts of the "points of principle" sale terms showing sequential reductions in the promised contribution to the pension fund
- Deloitte's Project Thor disclosures to other parties
- Project Thor project plan
- Deloitte Project Thor presentation January 2014
- Deloitte Project Thor presentation one year later (January 2015)
Chair's comment
Rt Hon Franki Field MP, Chair of the Work and Pensions Committee said:
"Sir Philip told us that he was going to ‘sort' the pension fund. This is welcome but he has been giving similar personal reassurances for two years, including to Dominic Chappell. We expect him to deliver this time and ensure that his former staff get the pensions they were promised."
Further information
- Business, Innovation and Skills Committee inquiry: The sale and acquisition of BHS
- Work and Pensions Committee inquiry: Pension Protection Fund and the Pensions Regulator
- About Parliament: Select committees
- Visiting Parliament: Watch committees
Image: PA