Shepherd's pension boon

Shepherd Building Group paid £5.3m into its pension fund last year and has plans for even higher payments in each of the coming two years.
The group's latest accounts show that in the 12 months to 30 June 2004 the deficit in Shepherd's pension scheme, when evaluated to the new accountancy standard FRS17, was £16m. A year earlier, the gap had been £35m.
Shepherd's defined benefit scheme was closed to new
starters in 1999. Employer contributions now run at 15.5% of pensionable salaries. Shepherd's employees have had the option of picking from various voluntary contribution rates since 2002. "Our pension fund is in a
better shape than many in the construction industry," said a spokesman.