Seven in ten (72%) schemes were closed to future accrual and the remaining 4% of schemes were in the process of winding up.
TPR’s annual DB Landscape publication provides an overview of the occupational DB and hybrid pension landscape in the UK, reporting on scheme status, membership levels and assets under management.
As part of an ongoing programme of improvement, TPR has enhanced its methodology with heightened validation of the data it receives from its annual scheme return. These improvements have resulted in revisions to scheme status statistics which better reflect the current DB landscape.
Today’s DB Landscape for 2023 shows scheme funding levels improved since 2022. The number of schemes with 100% or greater *technical provision funding levels increased from 2,565 to 3,620. And the total deficit (of schemes in deficit) has more than halved, reducing from £63 billion to £28 billion.
As in previous years, the DB landscape continues to shrink. Since 2022, the total number of schemes reduced by 2%, from 5,378 to 5,297.
TPR’s Interim Director of Regulatory Policy, Analysis and Advice, Lou Davey said: “Today’s report gives an important overview of the DB landscape, which has more than 9.6 million memberships. Changes in scheme status have been small year-on-year but the trend of a contracting market continues.
“This year, we have reviewed how data for this annual report is gathered and analysed, resulting in notable changes to some of its figures. Historical data for the report has also been reviewed and, where necessary, revised.
“As a data-focused and digitally-enabled regulator, we are reviewing how we collect, analyse and provide information. This data informs our approach and continues to underline the importance of schemes having long-term plans in place as they mature.”?
Data for the report is given to TPR by trustees and administrators in their scheme’s annual scheme return. As part of this year’s scheme return exercise, TPR is asking that trustee and administrators carefully review and update their scheme status to ensure it aligns with scheme status definitions. Further information is available on the Exchange section of TPR’s website.
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