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Published
Mar 14, 2016
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Sir Philip Green may have to pay £280m into BHS pensions

Published
Mar 14, 2016

Sir Philip Green, the UK retail mogul, might be facing a gigantic payout to keep BHS staff from having their pensions cut.


Sir Philip Green


Green could have to pay £280m, according to reports in UK media. His Arcadia company sold BHS to Retail Acquisitions last year for a nominal sum of £1. Since then, the BHS pension scheme deficit has reached £571m, and now The Pensions Regulator is allegedly considering ordering Green to pay £280m of the £300m it would cost the “lifeboat” Pension Protection Fund (PPF) to close the gap if it is called upon to take the scheme on. BHS would cover the remaining £20m.

So far Green, whose estimated net worth is £3.5bn, has offered to put £80m into the BHS pension scheme. £40m of the money would be in cash, and the other half via the cancellation of a charge he has over company assets, The Guardian reported.

Arcadia has already committed to paying £15m into the scheme over three years. Green could fight any order to pay more money into the scheme.

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