Pensions - Articles - JLT EB pension monthly update


JLT Employee Benefits (JLT) has updated its monthly index, showing the funding position of all UK private sector defined benefit (DB) pension schemes under the standard accounting measure (IAS19) used in company reports and accounts.

 As at 30 April 2015, JLT estimates the total DB pension scheme funding position as follows:
  
 
 
 Charles Cowling, Director, JLT Employee Benefits, comments:
 “The ballooning of defined benefit pension deficits continues, with the burden on UK private sector employers increasing by £90bn over last 12 months. The long term impact of low interest rates coupled with improving longevity is continuing to pile the pressure on DB schemes – particularly those with an actuarial valuation in 2015. This can quickly become unsustainable, and the closure of Tesco’s DB scheme – one of the largest in the UK private sector – could lead many others to follow suit.”
  
 “Meanwhile, the General Election next week and its uncertain outcome will have a medium term impact on the financial markets as well as the overall economy. This could have negative repercussions for pension investments and sponsors’ ability to fund deficits.”
  
 “Despite the relative gloom, there may be some good news on the horizon. It is still early days for the Freedom and Choice reform and it is too soon to observe any substantial effects. But it may offer some hope for DB schemes if enough members transfer DB benefits to DC schemes to take advantage of the new flexibilities.”
  

Back to Index


Similar News to this Story

4 ways completing a tax return can help boost your pension
Missing the Self-Assessment deadline not only risks a penalty for late filing but could cost individuals hundreds, if not thousands of pounds in uncla
DWP holds AE thresholds with GBP90bn of pensions expected
The DWP has issued its review of the Automatic Enrolment Earnings Trigger and Qualifying Earnings Band for 2025/26, retaining all three thresholds at
Response to Triple Lock means testing comments
Aegon has called for ‘a future focused debate on a sustainable state pension’ following comments on the Triple Lock by Conservative leader Kemi Badeno

Site Search

Exact   Any  

Latest Actuarial Jobs

Actuarial Login

Email
Password
 Jobseeker    Client
Reminder Logon

APA Sponsors

Actuarial Jobs & News Feeds

Jobs RSS News RSS

WikiActuary

Be the first to contribute to our definitive actuarial reference forum. Built by actuaries for actuaries.