DB Pensions – End-July 2016 PPF 7800 deficit

22 August 2016 The Pension Protection Fund produces a monthly index update (this article has data taken as at end-July 2016) of the estimated funding position of the defined benefit schemes which would be potentially eligible for entry into the Fund. It’s been a while since I last reviewed this data (my last – December 2014 – update is available here: Where did the deficit come from? – a study in scarlet (ink)) and it’s interesting to see how things have changed since then. The aggregate PPF 7800 funding ratio has declined from 82.3% at the end of 2014 to…

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Where did the deficit come from? – a study in scarlet (ink)

20 January 2015 According to Pension Protection Fund (PPF) data1, the s.179 funding level for the aggregate universe of DB schemes potentially eligible for entry into the PPF fell sharply during 2014. According to their database, the aggregate funding position moved from a small surplus (0.8% at Dec 13) to a significant deficit (-17.7% at Dec 14). So where did all this red ink2 come from? Well … conventional growth assets may not have helped much. Trustees will be familiar with the roll-forward phenomenon on actuarial valuations; that the selected discount rate becomes a sort of ‘hurdle rate’ going forward…

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DB Pensions – End-February 2014 PPF 7800 deficit

16 March 2014 The Pension Protection Fund produces a monthly index update (this month’s release has data taken as at end-February 2014) of the estimated funding position of the defined benefit schemes which would be potentially eligible for entry into the Fund. February marked a small improvement in aggregate universe funding levels, due mainly to a small increase in growth assets. The average funding ratio rose from 93.7% to 94.9% reflecting an reduction in overall deficit from £76.4bn to £61.2bn. Report and analysis is provided by the PPF on their website

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DB Pensions – End-January 2014 PPF 7800 deficit

28 February 2014 The Pension Protection Fund produces a monthly index update (this month’s release has data taken as at end-January 2014) of the estimated funding position of the defined benefit schemes which would be potentially eligible for entry into the Fund. Growth asset levels declined slightly during January – the traditional post-Christmas bounce was short-lived this year! – though long gilt yields declined slightly. This combination led to a small decline in eligible scheme funding with the average universe funding ratio declined from 97.6% to 93.7% reflecting an increase in overall deficit from £27.6bn to £76.4bn. Report and analysis…

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DB Pensions – End-December 2013 PPF 7800 deficit

15 January 2014 The Pension Protection Fund produces a monthly index update (this month’s release has data taken as at end-December 2013) of the estimated funding position of the defined benefit schemes which would be potentially eligible for entry into the Fund. December marked the third consecutive month with an improvement in eligible scheme funding – with average universe funding ratio increasing from 95.0% to 97.6% reflecting a fall in overall deficit from £59.7bn to £27.6bn. Overall, 2013 was a good year for universe deficits with nine out of twelve months showing improvements and the average funding ration improving from…

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DB Pensions – End-November 2013 PPF 7800 deficit

20 December 2013 The Pension Protection Fund produces a monthly index update (this month’s release has data taken as at end-November 2013) of the estimated funding position of the defined benefit schemes which would be potentially eligible for entry into the Fund. November again marked an improvement in eligible scheme funding – with average universe funding ratio increasing from 93.8% to 95.0% reflecting a fall in overall deficit from £75.6bn to £59.7bn. This small change had less to do with universe assets – which fell slightly – than with an improvements in the current value of liabilities – which fell…

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  • Author: Martin Veasey
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