I came across an article last week about pension fund deficits which made a pretty convincing case that the deficits we so often hear about in public sector pension funds are in effect being created by accounting rules and practices. You can read the whole article here.

Now if this is the case then it matters to everyone, not just those in the fund, as public sector bodies are having to increase their contributions into these funds and that means inevitably services will suffer or taxes will increase to cover the costs.

I don’t profess to be an expert on pension funds but this issue seemed to be both important and overlooked.

Comments welcome!