Corporate pension premiums in the Netherlands are rising sharply this year with increases of 10% or more on the cards in some sectors, the Financieele Dagblad said on Tuesday.

In addition, low interest rates and lower than expected returns are depressing the build up of pension capital, the paper said.

Pensions have become more expensive for participants in 39 of the 44 sector-wide pension funds this year, the FD said. This means either premiums have risen or workers are building up less capital. In some cases, both measures are in place and in total five million people are affected.

‘We’ve never seen this before. There is massive intervention,’ Jeroen Koopmans, partner in pension advice group LCP told the paper.

Social affairs minister Wouter Koolmees had called on pension funds to keep premiums stable as much as possible, pending the introduction of a new pension system.

The new pension system which is more dependent on market fluctuations, is due to come into effect in 2026.

Pension funds have been struggling since the last banking crisis to cover their liabilities in full because sustained low interest rates have made it difficult to secure a return on their investments.