Report: The FTSE 100 and their pension disclosures

The latest pension disclosure report from JLT Employee Benefits finds that, at 31 December 2016, the total deficit in FTSE 100 pension schemes is estimated to be £87 billion. This is a deterioration of £17 billion from the position 12 months ago.

Key findings:

• Only 53 FTSE 100 companies are still providing more than a handful of current employees with defined benefit (DB) benefits. Of these, only 21 companies are still providing DB benefits to a significant number of employees.
• There continues to be significant funding of pension deficits. Last year saw total deficit funding of £11 billion, up from £6 billion the previous year.
• There are a significant number of FTSE 100 companies where the pension scheme represents a material risk to the business. 10 FTSE 100 companies have total disclosed pension liabilities greater than their equity market value.
• Only 24 companies disclosed a pension surplus in their most recent annual report and accounts; 66 companies disclosed pension deficits.