Actuarial Post

In our latest episode of Risk REconsidered, we shift to a video format as we mark the 15th anniversary of massive flooding in Thailand that began as a regional disaster but grew to into a global supply-chain crisis.

PMI’s Response to the Pensions Commission Interim Report calls for simplicity, stability and saver-focused reform. A range of improvements could be progressed immediately to address adequacy challenges. PMI offers to convene pension experts to provide practical operational insight into how future reforms can be successfully delivered.

Broadstone and Gallagher comment as the aggregate surplus of the 4,838 schemes in the PPF 7800 Index improved slightly through June 2026, increasing by £0.2 billion to reach £264.0 billion in surplus with a small decrease to the funding ratio which dropped by 0.1 percentage points to 131.1%. The number of schemes in surplus also registered a slight downturn dropping by 6, from 3,826 to 3,820 representing nearly four in five (79.0%) of all schemes in the universe.

The Pensions Regulator (TPR) has set out a clear direction for the next five years with the publication of its new Corporate Strategy, its latest Corporate Plan and a Regulatory Roadmap supporting the implementation of the government’s pensions reform agenda. Automatic enrolment has transformed retirement saving in the UK, with 23 million people now saving into a workplace pension. But the pensions system is still unfinished business with 15 million working-age people under-saving for retirement.

This update provides the latest estimated funding position, based on adjusting the scheme valuation data supplied to The Pensions Regulator as part of the schemes’ annual scheme returns, on a section 179 (s179) basis, for the defined benefit pension schemes potentially eligible for entry to the Pension Protection Fund (PPF). A scheme’s s179 liabilities represent, broadly speaking, the premium that would have to be paid to an insurance company to take on the payment of PPF levels of compensation.

The latest findings reveal that levels of confidence vary significantly by both gender and generation. Women are around 50% more likely than men to say they do not know how much they trust the pensions industry (22% compared with 15%), while just 24% rate their trust at seven or above out of ten, compared with 35% of men. Only 3% of women award the industry the highest possible trust score, compared with 5% of men. The research also highlights a stark generational divide.

While the Government has considered several measures to encourage savers to invest their cash, including cutting the annual cash Isa limit, leading mutual Scottish Friendly says it needs to go further if it is to change the nation’s mindset. This means introducing measures that tackle the main barriers to investing for most people. Scottish Friendly’s own research reveals that 26% of British adults are ‘nervous’ about investing, 16% feel ‘overwhelmed’ and 10% describe themselves as ‘terrified’.

Susannah Streeter, Chief Investment Strategist, Wealth Club: "Stasis has taken over markets as investors wait for the latest twist in the Iran conflict and brace for higher energy prices to filter through to economies. Brent crude has surged even higher, topping $84 a barrel, while European gas prices have shot up to levels not seen in three months. The Strait of Hormuz is once again a dangerous flashpoint and fast becoming a highly expensive one.

Key findings included: Overall, respondents felt that improving understanding, capability and access to trusted support would help them make more informed decumulation decisions. Respondents expressed a need for clearer and simpler information that was more personalised. Respondents wanted plain-English explanations and tailored guidance as well as earlier financial education.

Calls to rethink the Triple Lock have grown, however, as political consensus and fiscal sustainability increasingly pull in opposite directions. Behind the cross-party commitment sits a rapidly rising cost, a widening generational divide, and a growing number of pensioners being pulled into paying income tax for the first time by frozen thresholds and fiscal drag.