Personal Pension  

Final salary scheme shortfalls decrease: PPF

The aggregate deficit of the 6,316 schemes in the Pension Protection Fund 7800 index is estimated to have decreased over July to £115.7bn, from a deficit of £134.3bn at the end of June.

In its July update, the PPF index revealed the position has improved on the previous year, when a deficit of £292.6bn was recorded at the end of July 2012.

Within the index, total scheme assets amounted to £1,131.2bn at the end of July 2013.

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Over the month, scheme assets rose by 2.7 per cent and over the year there was an increase of 7.8 per cent.

Total scheme liabilities were £1,246.9bn at the end of July 2013, an increase of 0.9 per cent over the month and a decrease of 7.1 per cent over the year.

The aggregate deficit of all schemes in deficit at the end of July 2013 is estimated to have decreased to £162.5bn from £175.1bn at the end of June 2013.

At the end of July 2012, the equivalent figure was £311.4bn.

At the end of July 2013, the total surpluses of schemes in surplus increased to £46.8bn from £40.8bn at the end of June 2013.

At the end of July 2012, the total surplus of all schemes in surplus stood at £18.7bn.

The number of schemes in deficit at the end of July 2013 decreased to 4,568 representing 72.3 per cent of the total 6,316 defined benefit schemes.

There were 4,692 schemes in deficit at the end of June 2013 and 5,314 schemes in deficit at the end of July 2012.