View more on these topics

Rollercoaster ride ends up with pension schemes in surplus

UK pension schemes have moved into surplus for first time in over five years, according to research from Aon Consulting.

At the end of last week, there was an aggregate UK pension accounting surplus for the first time since FRS17 was introduced in June 2001. This landmark date marks more than a 50bn improvement in FRS17 scheme net valuations in two months.

Aon says there has been a remarkable degree of vola-tility in the aggregate deficit over the last three months, starting with the biggest single-day increase in pension deficits of 11bn after market turmoil in China on February 27. At its recent peak, the aggregate deficit stood as high as 50bn in March.

The aggregate deficit for the 200 biggest pension funds has cleared while equivalent figures for FTSE 100 companies also show an improvement to a surplus of 1bn.

The improvements in the aggregate position for UK pension schemes has arisen primarily from increases in bond yields, the benchmark measure of pension scheme deficits for accounting purposes, although strong investment performance has also served to improve the position.

Aon Consulting senior consultant & actuary Marcus Hurd says: “This is a momentous day for UK pension schemes, because the average UK pension fund is now likely to be in surplus.’


Lifetime shuns sales to improve service

The Norwich Union-owned platform has also increased the minimum single contributions to its Sipp from £100,000 to £250,000 to deter inflows from current adviser users and enable it to work through an existing backlog.

Hips delayed until August 1

The Government has delayed the implementation of Home Information Packs until August 1. The decision was made following an interim order preventing Energy Performance Certificates from being included in Hips from June 1.

Online income protection offer

Price comparison website Moneysupermarket will allow consumers to compare deals on income protection by the end of the year.The website currently enables consumers to compare prices on life cover, life and critical-illness, payment protection insurance and mortgage payment protection insurance.It also offers comparisons on a range of consumer goods such as mobile phones, credit cards […]

Radical departure

It is probably fair to say I have not been the Association of British Insurers’ biggest fan over the years. In my view, and that of almost all journalists I have spoken to, the insurers’ trade body is one of the most defensive and outdated organisations in this industry.


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm