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Thousands of pensioners left facing an uncertain retirement by the collapse of Sir Philip Green’s high street empire are on the verge of a funding deal backed by one of Britain’s biggest insurers.

Sky News has learnt that the trustees of the Arcadia Group pension scheme are close to striking a binding deal with Aviva to guarantee its members’ incomes.

City sources said a formal agreement was likely within weeks, with Aviva understood to have seen off competition from rival insurance companies, including Pension Insurance Corporation (PIC).

If concluded, it would bring to an end negotiations about one of the UK’s most contentious corporate pension schemes.

The fate of Arcadia’s pensioners, comprising employees of prominent chains including Burton, Dorothy Perkins and Topshop, has been in the balance since Sir Philip was forced to put the group into administration in the autumn of 2020.

The retailer had been in financial trouble for some time, hurt by consumers’ switch to online shopping and exacerbated by the COVID-19 pandemic.

Sir Philip was in negotiations with The Pensions Regulator for months before Arcadia’s collapse, and agreed to inject a substantial sum into the scheme.

His fraught discussions with the watchdog were precipitated by the political row which engulfed the tycoon in the aftermath of the collapse of BHS, the department store chain, in 2016.

A memorable select committee hearing with MPs that year saw the then billionaire castigated for his decision to offload BHS to Dominic Chappell, a now-imprisoned bankrupt, for just £1.

Along with wife Lady Tina, Sir Philip eventually committed more than £350m to boost payouts to BHS’s pension scheme members, but not without an ugly critique of his conduct by parliamentarians.

The precise structure of the deal between the Arcadia trustees and Aviva was unclear on Tuesday, but one insider said it was expected to involve members receiving full benefits – albeit potentially with more limited future increases than current inflation levels would justify.

Arcadia members are certain to receive superior payouts to those they would have got through the Pension Protection Fund lifeboat, which effectively guarantees benefits worth 90% of pension pots to unretired members.

The last public figure for Arcadia’s pension liabilities was in the order of £1bn, although the current figure was unclear.

Many retirement schemes have seen deficits shrink in recent months as interest rates have risen.

Aviva and a spokesperson for Arcadia’s pension trustees both declined to comment.

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Post Office inquiry: Former complaints handler executive says she never ‘knowingly’ did anything wrong

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Post Office inquiry: Former complaints handler executive says she never 'knowingly' did anything wrong

A former top Post Office executive has told the Horizon scandal inquiry she never “knowingly” did anything wrong and did not remember a 2010 email saying that cash balances in sub-postmasters’ branch accounts could be remotely accessed.

Angela van den Bogerd, who held various roles over 35 years at the organisation, made the comments after opening her evidence on Thursday by saying she was “truly, truly sorry” for the “devastation” caused to wrongly convicted sub-postmasters.

Her roles at the Post Office included handling complaints about its Horizon software, which was provided by Japanese firm Fujitsu.

More than 700 Post Office managers were prosecuted between 1999 and 2015, after the system made it seem like money was missing from branches. At the time, the company insisted Horizon was robust.

Ms van der Bogerd, who was played by Coronation Street actress Katherine Kelly in the ITV drama Mr Bates Vs The Post Office, had previously not spoken publicly since a 2019 High Court case.

At the time, Judge Peter Fraser criticised her testimony and said she “did not give me frank evidence, and sought to obfuscate matters, and mislead me”.

Jason Beer KC, lead counsel to the inquiry, challenged Ms van den Bogerd’s opening statement, as he accused her of not saying sorry for her own role in the scandal.

Ms van den Bogerd, who resigned as the Post Office’s business improvement director in 2020, said she regretted missing significant documents and apologised for “not getting to the answer more quickly”.

She said: “But with the evidence I had and the parameters of my role at the time, I did the best I could to the best of my ability.”

Ms van den Bogerd added: “I didn’t knowingly do anything wrong and I would never knowingly do anything wrong.”

Read more on this story:
Review ordered into another Post Office IT system

Scandal victim demands jail for those who denied her justice
Leaked Post Office recordings revealed

The inquiry heard that Ms van den Bogerd was sent an email in December 2010 informing her Fujitsu could remotely amend cash balances in branch accounts via Horizon.

She told the inquiry she had no memory of it and only became aware of the issue in a January 2011 email.

The inquiry was shown a transcript of a meeting that same month between her and sub-postmistress Rachpal Athwal, who was sacked after being wrongly accused of stealing £710 before being reinstated.

In the meeting, Ms van den Bogerd said Horizon could not be accessed remotely by anyone from the Post Office, without mentioning that Fujitsu could, the inquiry heard.

Mr Beer asked: “Are you saying that what you said overall there is accurate?”

Ms van den Bogerd replied: “So that is accurate. I go on to talk later about Fujitsu, I believe”. Mr Beer said it was inaccurate because she had not given the full picture.

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Scandal ‘tip of the iceberg’

The inquiry also heard that, prior to a High Court case in 2019, Ms van den Bogerd made a witness statement in 2018 in which she said the first she knew of the possibility of inserting transactions into the system remotely was in the year or so before.

Mr Beer told the inquiry: “That was false.”

She replied: “Well, at the time I didn’t think it was.”

Pressed further on the issue, she said the messaging on remote access was “constantly changing” and that colleagues had been “very strong” that such access was “impossible”.

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‘I have had breakdowns’

Ms van den Bogerd was also asked about an October 2014 email she and other senior staff were sent by Post Office media officer Melanie Corfield, which discussed what the response should be if anyone asked about remote access to Horizon.

The email said: “Our current line if we are asked about remote access potentially being used to change branch data/transactions is simply: ‘This is not and never has been possible’.”

Mr Beer said: “You knew that was false from multiple sources by then, by now, didn’t you?”

Ms van den Bogerd appeared flustered, before replying: “Clearly I was aware of that and just didn’t pick this up… it didn’t register with me at the time, but obviously from what we’ve discussed then this was incorrect terms of reference of a flow of information, yes.”

She added she was “certainly not trying to cover up… it wasn’t just me, there were other people party to the same information”.

Meanwhile, earlier in the hearing, the former executive said she agreed with Mr Beer that using words such as “exception” or “anomaly” to describe computer bugs had been an “attempt to control the narrative”.

The inquiry continues.

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Post Office inquiry: Former complaints handler executive says she never ‘knowingly’ did anything wrong

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Post Office inquiry: Former complaints handler executive says she never 'knowingly' did anything wrong

A former top Post Office executive has told the inquiry into the Horizon scandal that she never “knowingly” did anything wrong.

Angela van den Bogerd, who held various roles over 35 years at the organisation, made the comment after opening her evidence on Thursday by saying she was “truly, truly sorry” for the “devastation” caused to wrongly convicted sub-postmasters.

Her roles at the Post Office included handling complaints about its Horizon software, which was provided by Japanese firm Fujitsu.

More than 700 Post Office managers were prosecuted between 1999 and 2015, after the system made it seem like money was missing from branches. At the time, the company insisted Horizon was robust.

Ms van der Bogerd, who was played by Coronation Street actress Katherine Kelly in the ITV drama Mr Bates Vs The Post Office, had previously not spoken publicly since a 2019 High Court case.

At the time, Judge Peter Fraser criticised her testimony and said she “did not give me frank evidence, and sought to obfuscate matters, and mislead me”.

Jason Beer KC, lead counsel to the inquiry, challenged Ms van den Bogerd’s opening statement, as he accused her of not saying sorry for her own role in the scandal.

Ms van den Bogerd, who resigned as the Post Office’s business improvement director in 2020, said she regretted missing significant documents and apologised for “not getting to the answer more quickly”.

She said: “But with the evidence I had and the parameters of my role at the time, I did the best I could to the best of my ability.”

Ms van den Bogerd added: “I didn’t knowingly do anything wrong and I would never knowingly do anything wrong.”

Read more on this story:
Review ordered into another Post Office IT system

Scandal victim demands jail for those who denied her justice
Leaked Post Office recordings revealed

The inquiry heard that Ms van den Bogerd was sent an email in December 2010 informing her Fujitsu could remotely amend cash balances in branch accounts via Horizon.

She told the inquiry she had no memory of it and only became aware of the issue in a January 2011 email.

The inquiry was shown a transcript of a meeting that same month between her and sub-postmistress Rachpal Athwal, who was sacked after being wrongly accused of stealing £710 before being reinstated.

In the meeting, Ms van den Bogerd said Horizon could not be accessed remotely by anyone from the Post Office, without mentioning that Fujitsu could, the inquiry heard.

Mr Beer asked: “Are you saying that what you said overall there is accurate?”

Ms van den Bogerd replied: “So that is accurate. I go on to talk later about Fujitsu, I believe”. Mr Beer said it was inaccurate because she had not given the full picture.

Please use Chrome browser for a more accessible video player

Scandal ‘tip of the iceberg’

The inquiry also heard that, prior to a High Court case in 2019, Ms van den Bogerd made a witness statement in 2018 in which she said the first she knew of the possibility of inserting transactions into the system remotely was in the year or so before.

Mr Beer told the inquiry: “That was false.”

She replied: “Well, at the time I didn’t think it was.”

Pressed further on the issue, she said the messaging on remote access was “constantly changing” and that colleagues had been “very strong” that such access was “impossible”.

Please use Chrome browser for a more accessible video player

‘I have had breakdowns’

Ms van den Bogerd was also asked about an October 2014 email she and other senior staff were sent by Post Office media officer Melanie Corfield, which discussed what the response should be if anyone asked about remote access to Horizon.

The email said: “Our current line if we are asked about remote access potentially being used to change branch data/transactions is simply: ‘This is not and never has been possible’.”

Mr Beer said: “You knew that was false from multiple sources by then, by now, didn’t you?”

Ms van den Bogerd appeared flustered, before replying: “Clearly I was aware of that and just didn’t pick this up… it didn’t register with me at the time, but obviously from what we’ve discussed then this was incorrect terms of reference of a flow of information, yes.”

She added she was “certainly not trying to cover up… it wasn’t just me, there were other people party to the same information”.

Meanwhile, earlier in the hearing, the former executive said she agreed with Mr Beer that using words such as “exception” or “anomaly” to describe computer bugs had been an “attempt to control the narrative”.

The inquiry continues.

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Unions vow to fight ‘rejection’ of plan to save Tata Steel jobs

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Unions vow to fight 'rejection' of plan to save Tata Steel jobs

Unions have warned of a bitter fight ahead, saying their plans to avert thousands of job losses at Tata Steel have been rejected by the company.

Tata had announced in January a consultation on cutting up to 2,800 jobs in the UK, the majority of them at the country’s biggest steelworks in Port Talbot, South Wales.

It followed confirmation that the Indian-owned firm wanted to close down the blast furnaces at the plant and replace them with electric arc furnaces under a plan to reduce emissions and costs.

GMB, Unite and Community union representatives met Tata counterparts at a London hotel to discuss the way forward on Thursday morning.

But the GMB said Tata informed them that the blast furnaces would be closed by the end of September, describing the decision as an “unwelcome but not expected slap in the face”.

Tata Steel was yet to comment.

It has consistently argued that its £1.25bn investment would secure the future of UK steelmaking.

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“It would protect the majority of jobs, reduce the UK’s carbon emissions by five million tonnes a year and could kickstart a green industrial revolution in South Wales,” a spokesperson said.

However, its operations are now widely expected to face strike action.

Members of Community and the GMB are being balloted on whether to walk out over the plans.

Unite members have already voted in favour of industrial action.

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Why is green steel such a big issue?

The unions had urged Tata to abandon the government-supported switch to so-called green steel by signing up to an alternative plan that would raise productivity and protect jobs across the supply chain.

They argued that Tat’s proposals would rid the UK economy of its last remaining ‘virgin’ steelmaking facility and commit thousands of jobs to the scrap heap for no reason.

Community general secretary Roy Rickhuss said: “It’s incredibly disappointing that Tata have chosen to reject the multi-union plan, which is an ambitious and viable alternative to their destructive bad deal for steel.

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Port Talbot: Community ‘smashed to pieces’

“We do not accept the company’s assertion our plan was too expensive – in fact, it would have returned the company to profits, and the additional capital expenditure needed to make it a reality could have been funded by an additional £450m from the government – a drop in the water compared to what other European countries are investing in their domestic steel industries.

“Tata have made their decision, and our members will decide on our collective response.

“Tata made a proposal to negotiate a package with the unions to give us firm assurances on jobs and future investment, and we will consult our members on how we proceed

“We want to make one thing absolutely clear to the company: this isn’t over – not by a long shot. We will never stop fighting for our jobs, our industry, and our proud steel communities.”

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