The Dutch Central Bank (DNB) has given permission to the pension fund for the film and cinema industry (BPF Film) to go into liquidation and transfer its assets and members to the bigger media scheme PNO Media.

The scheme made the decision to transfer into PNO Media after what it calls a "strategic re-oriantation" and says the move will ensure the continued offer of a mandatory pension scheme.

One of the reasons were the costs for carrying out the mandatory provision, with the transfer, part of the buffer that was kept back by the scheme to cover these costs in the future could be released back into the scheme. The 'sudden' extra funds led to a pension increase of 5% for the scheme's members per 1 April of this year.

Henk Baard, chairman of PNO Media welcomes the move saying: "The member profile of BPF Film matches the profile of the fund perfectly."

On 1 January 2012 Stichting Bedrijfstakpensioenfonds voor het Film- en Bioscoopbedrijf tranferred its pensions provider from Syntrus Achmea to Media Pensioen Diensten (MPD)  which, until the tranfer to PNO Media is complete, is still responsible for the pension provision to its members.

BPF Film provided pensions for 127 employers, encompassing 2539 active members, 8195 deferred members and 1396 pensioners. The transfer of BPF Film, which has assets worth €200m, ensures PNO Media's assets grow to roughly €3.6bn.

In the last year, the coverage ratio of the film and cinema scheme, which according to law should be a minimum of 105%, dropped by 5% to around 98%.

As the coverage ratio of PNO Media is also too low, 91,2% as at 31 March 2012, the scheme might need to cut pensions as of April next year. BPF Film members, however, would be protected from any reductions in benefits.

azeevalkink@wilmington.co.uk  

First published 17.04.2012