FTSE 100 pension scheme deficits drop in 2007

PCS attributes the 77% improvement to rising interest rates, which have led to smaller pension liabilities. Charles Cowling, managing director of PCS, says: “For the FTSE 100, this means that total pension liabilities have reduced by an estimated £19bn to £389bn. Also FTSE 100 companies have helped the situation by paying extra contributions, estimated at £7bn, into their pension schemes to reduce deficits." However, the Pensions Regulator has encouraged pension scheme trustees to operate with more caution when looking at funding schemes, particularly when it comes to setting mortality a...