MG Rover workers in pension boost

More than 6,000 former employees at the Longbridge plant in Birmingham will now have their pensions protected – the largest number to enter the scheme so far. MG Rover's retirement plan was one of six transferred into the fund, ensuring members will receive at least 90 per cent of their pension in retirement. The transferral of £450m in assets from MG Rover's pension scheme will increase the PPF's total assets to around £800m.

The PPF protects members of occupational schemes in the case of employer insolvency. It was launched in April 2005 having been set up as part of the Pensions Act in 2004. A spokesman for the Transport and General Workers' Union said: "Clearly this is an important development, and after what must have seemed like ages going through the process, former MG Rover workers should now be able to look forward to receiving money that is due to them."