Mr. Brendan Kennedy:

Returning to the Chairman's first question, the introduction of this legislation, as we understand it, will not affect schemes that will continue in existence. By that, I mean schemes which are not planned to close. The legislation will not require money to be paid any sooner. As the Chairman understands, an employer does not currently have an obligation to pay. The legislation will mean that they will in the future. Many employers pay shortfalls through funding proposals, as I explained. The Bill will change things. In the case of any schemes that wind up with deficits in the short term, employers will be obliged to pay those deficits. That payment, depending on how the mechanism works out, may be a lump sum or it may take the form of payments spread over a number of years. Under the new legislation, employers will be liable for such deficits and forced to make a contribution. Under existing legislation, if that happens, employers have no legal liability although they may or may not choose to pay.