Scottish pensions

Scottish pensions compared with the rest of the UK

There are relatively few differences in the general structure of pension schemes in Scotland, as compared with the rest of the UK.

As in England, the vast majority of final salary occupational pension schemes in Scotland are:

1. •

   set up under trust and governed by a trust deed and rules, which are amended over the years as legislation and benefit provision change. In most cases, amendments were, in the past, carried out by administrators and providers. However the increasing complexity and burden of pensions legislation and regulation has seen this kind of work transferred over the years to specialist pensions lawyers

2. •

   subject to volatility and high costs. This has led to the widespread closure of defined benefit schemes across Scotland, and much of the work carried out day-to-day by pensions lawyers working on Scottish schemes would be familiar to those who work solely on English schemes, with an increased focus on liability reduction and de-risking initiatives. Sadly, the continued squeeze on employers has resulted in a significant amount of financial distress for both employers and schemes which, in many cases, has