Annual Report 2006 - 2007

Annual Report 2006 - 2007

Tuesday, 02, Dec 2008 03:54


The PPF’s Annual Report and Accounts 2006-07 was laid before Parliament on October 25 2007. A summary version of the Report is also available.

Highlights included:

  • By 31 March 2007, nine schemes had transferred into the PPF and we are providing protection for more than 7,000 scheme members – with 1300 of those now receiving monthly payments, with an average annual payment of £3,000.

  • Also receiving PPF protection were the 100,000 members and more than 150 schemes in the assessment process

  • By 31 March 2007, we were, in aggregate, 88 per cent funded against our liabilities.

  • During the year, we adopted more prudent mortality assumptions, based on the long cohort projection together with an underpin (1.5 per cent per annum for males and 1 per cent per annum for females). If we had not done this, we would have been, in aggregate, 92 per cent funded against our liabilities

  • We took responsibility for £432 million worth of transferred scheme assets

  • By 31 March 2007, we had exposure to £4.4 billion assets and liabilities of £5 billion, leaving us with a deficit of £609 million. This figure fell to £286 million ( unaudited ) as of 31st August 2007.

  • The Purple Book was published in conjunction with the Pensions Regulator to provide a unique picture of the pensions universe for the first time

  • The PPF investment strategy was published and was well received by the investment industry. It is based on a low-risk approach focusing on UK and global equities, government bonds, property, currency and swaps.

    The Long Term Risk Model which is used to help calculate the amount of levy charged to industry in the future was unveiled.

    • Latest Press Releases

    PPF confirms levy estimate for 2009/10

    The Pension Protection Fund (PPF) today (Thursday) confirmed that it has set a pension protection levy estimate of £700 million for 2009/10.

    PPF consults on including longer term risk in levy

    The Pension Protection Fund (PPF) today (Tuesday) unveiled proposals which make the pension protection levy paid by eligible pension schemes more tailored than ever before to the individual risk those schemes pose to the PPF.

    PPF opens its doors to over a thousand more pensioners

    The PPF took five more schemes under its wing last month (October), resulting in a further 1,313 people around the UK now receiving compensation – or will do so in the future.

    PPF 7800 Index update

    We have updated the PPF 7800 Index page to show the state of defined benefit pension scheme funding as at the end of October.