Pensions - Articles - Little change in pension deficit despite Brexit


JLT Employee Benefits 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.

 

 Charles Cowling, Chief Actuary, JLT Employee Benefits, comments: “Despite the political turmoil in Westminster and across the EU, the start of 2019 has seen little change to the aggregate position for FTSE 100 pension schemes which continue to show a modest overall deficit. Markets seem to be holding their breath as the political dance around Brexit becomes ever more tortuous.

 “Inevitably the outlook for pension scheme deficits depends very much on the outcome of the Brexit negotiations. But the risk of more volatility and higher pension deficits must be high. A number of pension schemes have successfully navigated the turbulent markets by taking out investment risk at every opportunity. Others are still trying to de-risk their pension schemes and hoping for favourable market opportunities to emerge. This, though, may be a vain hope, and companies and pension trustees have to decide whether they can continue to afford to run with high risk positions. In particular the fall-out from a difficult Christmas in the Retail sector seems likely to claim some more victims yet.”
  

Back to Index


Similar News to this Story

DC investors need to be confident in master trusts
Following the publication of TPR’s blog on master trust authorisation extensions, Andy Parker, Associate at Barnett Waddingham, believes DC investors
Pensions industry must not think older people wont go online
Trafalgar House, the pensions administration specialist, has today urged schemes to reconsider the benefits of online solutions, following their surve
GMP equalisation to cost less than expected at eight billion
According to analysis by Hymans Robertson the true cost of GMP equalisation to UK businesses is likely to be around £8bn. This is about half the £15bn

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.