13 July 2018

High profile corporate failures show no sign of sinking pensions lifeboat

3 min read

 
Helen Morrissey, Personal Finance Specialist

Helen Morrissey

Personal Finance Specialist

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Commenting on the publication of the Pension Protection Fund’s Annual Report Helen Morrissey, Pensions Specialist at Royal London says:

"Over the past twelve months the Pension Protection Fund (PPF) has had to take on the pension schemes of large corporates such as Carillion, Hoover and Toys R’Us with deficits of over £1.2bn. While such activity could have caused the PPF to come under major stress it is extremely positive to see its position strengthen with continued growth in its funding reserves and strong investment performance.

While the PPF’s probability of being self-sufficient by 2030 has fallen slightly from 93% to 91%, it is still well above its target of 88%.

While there should be no room for complacency such performance bodes well that the PPF will continue to provide much needed security for millions of pension scheme members for the long term."

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Helen Morrissey, Personal Finance Specialist

Notes to editor

Here you can find, The Pension Protection Fund’s Annual Report.

About Royal London

Royal London is the largest mutual life, pensions and investment company in the UK, with funds under management of £117 billion, 8.8 million policies in force and 3,745 employees. Figures quoted are as at 30 June.

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