In the proposals the minister put forward, there were a number of additional incentives for employers. One was to increase the ceiling on the tax-deductible contributions to the solvency fund in order to encourage a greater margin. Another was the option for employers to use properly funded letters of credit in place of cash investments. This can be more attractive to employers, and it is no less secure for employees. In addition, the government will propose to reduce the volatility of the calculation of solvency payments, and this should make those payments more manageable for employers without penalizing benefit security.
On November 3rd, 2009. See this statement in context.