A scheme’s s179 liabilities represent, broadly speaking, the premium that would have to be paid to an insurance company to take on the payment of PPF levels of compensation. This compensation may be lower than full scheme benefits.
Highlights
• The aggregate surplus of the 5,050 schemes in the PPF 7800 Index is estimated to be £476.0 billion at the end of September 2024, similar to the surplus of £475.0 billion at the end of August 2024.
• The funding ratio increased slightly from 148.2 per cent at the end of August 2024 to 148.4 per cent.
• Total assets were £1,458.8 billion and total liabilities were £982.8 billion.
• There were 463 schemes in deficit and 4,587 schemes in surplus.
• The deficit of the schemes in deficit at the end of September 2024 was £3.6 billion, similar to the £3.5 billion at the end of August 2024.
Shalin Bhagwan, PPF Chief Actuary said: “The 7800 index tells a story of stability over the last month, with very little change in aggregate asset and liability values as, although index-linked gilt and FTSE All-Share indices did see some downward movement, the latter was offset by positive by overseas equity moves, while bond yield movements between the month-ends were generally small.
“For the estimated funding ratio, this led to a small increase from 148.2 per cent at the end of August 2024 to 148.4 per cent at the end of September 2024. There were similarly minor movements in the estimated aggregate surplus, which saw a £1 billion increase to £476.0 billion, and the deficit of the schemes in deficit, which rose by £100 million to £3.6 billion.”
View the October update and see the supporting data on the 7800 Index for 30 September 2024 here: The PPF 7800 index | Pension Protection Fund.
A note on upcoming changes to the PPF 7800 index
We will publish the next edition of the Purple Book in early December. As usual, the subsequent release of the PPF 7800 index will be updated to reflect the latest data. Alongside this update, we will introduce a number of refinements to the roll-forward calculation methodology used to estimate the asset and liability figures in the Purple Book and 7800.
Further information about these changes can be found on our website: The PPF 7800 index | Pension Protection Fund.
|
