The engineering sector fund PME will have to put up premiums sharply to restore its assets unless other action is taken, the Financieele Dagblad reports on Tuesday.

The €25bn fund, which includes the pensions for firms such as Daf and Siemens, is facing a 22% hike in premiums next year, fund chairman Franswillem Briet told the paper.
This would add €150m to the sector’s staffing costs, actuary Jeroen Koopmans told the FD. Falling interest rates mean employers have to step up premiums in order to guarantee pensions remain unchanged.
‘Other pension funds are also facing hikes in premiums of around 5%’, Briet said. ‘All in all, there will be major economic consequences. This could cut €1bn from spending power and damage the competitive position of companies.’ he said.