This would cost at least £500,000 to set up and is in my view very risky and could result in a complete waste of public money.
I am very concerned that there has been no independent scrutiny beforehand of this plan by our own Investment and Accounts Committee.
Professional Pensions picked up on the expense and high risk issue and made a very sensible report here
I then received these comments below by email from - let me say "a leading financial figure" who said :-
"Proposing SPV to reduce pension contributions !!!!!!!!!
Bloody dangerous. Have they learnt nothing from the City as to how not to do it? SPV-financing mechanisms were a significant part of what caused the financial crisis.
They know not what they do: feels like they have been sold a pup by some City whizz. And where does this kind of financing arrangement (off balance sheet most likely) end ?"
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