Business Briefs - June 16

Final salary pension scheme liabilities have reached a record £2 trillion.

The landmark means that for the first timethey now outstrip the £1.8tn total economic product of the UK.

The Glasgow-based consultant Hymans Robertson said European QE had depressed interest rates and further inflated liabilities, offsetting schemes’ 40 per cent growth in assets from to £1.3tn over five years.

Although £44bn had been pumped into all schemes since 2012, the new pension freedoms could now prompt a £10bn annual outflow.

Hymans warned that “time was running out” for assets to deliver the needed returns.

UK SME growth ‘returns to pre-crisis levels’

The UK’s small and medium-sized enterprises have bounced back from the recession, with growth and new start-up rates returning to pre-crisis levels.

According to academic body the Enterprise Research Centre, some 1 million SMEs failed between 2008 and 2014, costing 5.7 million jobs.

New start-ups created 4 million jobs during the same period, the ERC said.

However, by the end of 2014 the number of private sector jobs created since 2008 exceeded those lost by 400,000.

Nationwide ‘sorry’ for IT blackout

Nationwide, Britain’s biggest building society, suffered an IT blackout yesterday that left thousands of customers unable to use services.

The failure hit the lender’s mobile and online banking for two hours between 6.30am and 8.30am on Monday.

The firm, which runs 5.7 million accounts, said the issue has now been fixed and it apologised for any inconvenience caused to its customers.

Nationwide said: “We are aware of an issue that meant some customers were unable to access the internet and mobile banks for a short period this morning. We have resolved the issue and apologise for any inconvenience caused.”

Plexus lands £3.3m wellhead deal for Total

Aberdeen-based oil and gas technology group Plexus Holdings has won a £3.3 million contract to provide wellhead systems for industry giant Total.

The deal will see the firm supply equipment and services for the French group’s “ultra-high pressure” Solaris gas exploration well off the coast of Norway.

The well is believed to be the highest-pressure well in the North Sea

Plexus, which designs wellheads to prevent the types of blow-out behind the 2010 Gulf of Mexico oil spill, said revenues from the contract are expected to begin in October.

Half-year results, published at the end of March, showed that revenues at Aim-quoted Plexus rose 7 per cent to £13.5m in the six months to 31 December, with profits after tax jumping 28 per cent to almost £2m.

Work to start on top Aberdeen hotel

A new hotel and country club could be built on green belt land in Aberdeen as soon as 2018 after the Scottish Government gave planners the green light.

The £40million development on the fringes of Hazlehead Park is set to bring 200 bedrooms, a restaurant, spa and new swimming pool to Aberdeen.

It is expected to create more than 300 jobs and generate more than £10million each year for the economy of the northeast.

Last month, the council voted 28-7 in favour of the development.