Pensions - Articles - Funding for DB schemes makes more progress at start of 2026

The Broadstone Sirius Index – a monitor of how various pension scheme strategies are performing on their journeys to self-sufficiency – posts its latest update.

The Broadstone Sirius Index reports its update for January 2026 with both modelled schemes ending the month slightly ahead from where they started it, building on the positive progression over 2025.

The funding level of the fully hedged scheme increased from 71.6% at the end of December 2025 to 71.8% at the end of January 2026.

The funding level of the 50% hedged scheme increased from 108.4% at the end of December 2025 to 108.9% at the end of January 2026, reaching ever closer to the record high of 110.5% during October 2025.

David Brooks, Head of Policy at Broadstone, said: "After a year of strong funding tailwinds, it’s encouraging to see schemes holding onto that momentum as 2026 begins. For many trustee boards preparing for valuations under a new regime, a steady funding backdrop will come as welcome relief.

“When volatility settles down, trustees can shift their attention from firefighting to the broader agenda - connecting to dashboards, strengthening governance through the ORAs, which will be prepared throughout the year, and ensuring scheme data is genuinely fit for the future.

“If 2025 was about recovery, 2026 is shaping up to be the year trustees get the breathing space to focus on long term improvement and setting the strategy to buyout or run-on.”