The UK Government’s decision to consider relaxing rules on the funding levels of defined benefit pension schemes has been warmly received by business leaders, who believe it will help kick-start the faltering takeover market and guard against the collapse of sponsoring companies facing a period of recession.

Rosie Winterton MP, newly-appointed Pensions Minister, told members of the Confederation of British Industry this morning the government wanted to ease the financial burden on employers running these types of schemes as the economy headed for recession.