PPF levy set to rise following '06/07 shortfall

The firm says annual accounts released by PPF last week show it expected to receive £575m in levies during the 2006/7 levy year, but only collected £271m. As a result, it says, only 60% of the levy collected in the 2007/8 levy was risk related, compared to the 80% targeted by legislation. Mercer says some difference can be explained by actions taken by employers which have reduced the risk of claims on the PPF. However, it adds there will also be cases where weaknesses in the measurement of levy rating factors have resulted in lower premiums. Mercer says the accounts also reveal that, d...