UK pension funds narrow deficit in April

The combined deficit of 7,400 UK final salary pension schemes narrowed to 188.5 billion pounds ($286 billion) in April on the back of rising equity markets and gilt yields, data from the Pension Protection Fund showed. The combined deficit narrowed from 242 billion pounds at end-March as buoyant stock markets boosted pension scheme assets by 4 percent and higher gilt yields reduced liabilities by 3.2 percent, the PPF said in its monthly survey of UK schemes.

Total scheme assets rose 3.2 percent to 772.3 billion pounds during the month, adding to a 3.5 percent increase in March which took assets to 748.2 billion pounds, the data showed. By the end of April 6,429 schemes were in deficit, or 87 percent of the total, compared with 6,637 at the end of March while 953 schemes were in surplus, up from 774.

The Guardian