Annual report & accounts
Our duty is to protect millions of people throughout the UK who belong to defined benefit (DB) pension schemes. When these schemes fail, we’re here to support their members.Download annual report
Arnold Wagner OBE
“When so many people are suffering worries and uncertainties about their livelihood and their financial security, our responsibility is to reassure those who depend on us, now and in the future, that we remain financially robust, that the delivery of their compensation will be uninterrupted and that the service we offer will be as excellent as ever.”Read the Chair’s statement
"These have been worrying times indeed, but a crisis often brings out the best in many of us. Our ability to withstand instability since 2005 is a strength. We will never be complacent but I am glad to say that we have - so far - weathered this particular storm well."Read the Chief Executive’s review
Key figures 2019/20
We use these measures to monitor our activities
Assets under management
Members in PPF assessment
PPF levy collected
Our strategic priorities
Sustainable funding in volatile times
Our mission is to pay all of our current and future members for the rest of their lives. In order to do this, we charge a levy on eligible pension schemes and seek to generate returns on the assets we hold.
To help keep the costs to levy payers stable, we model our funding over the long term towards an assumed point which we call our funding horizon – currently 2030.
As the funding horizon draws closer, our approach will need to shift to ensure we have neither too much nor too little in reserve.
Together with Legal and General Investment Management, we worked to refinance the construction of the London Gateway port in 2016. London Gateway is a semi-automated deep-sea container port…
Together with Legal and General Investment Management, we worked to refinance the construction of the London Gateway port in 2016. London Gateway is a semi-automated deep-sea container port with a fully integrated logistics facility, located on the bank of the River Thames in Thurrock, Essex, and is focused on practising sustainability through its global programme, ‘Our World, Our Future’.
The port was the first in the world to be certified by The Planet Mark, an internationally recognised sustainability certification programme that is awarded to
projects committed to reducing their carbon emissions year-on-year. In October 2019, London Gateway won awards in Supply Chain Engagement and Carbon Reduction from The Planet Mark, which found that the port reduced its carbon emissions by 24.9 per cent per TEU (twenty-foot equivalent unit container) from 2017 to 2018.
Supporting the refinancing of projects like London Gateway is a vital component to facilitating the building of essential infrastructure within the UK.
Did you know?
►This year we asked people who downloaded ‘The Purple Book’ how they use it, which sections they find most useful and what else they’d like to see in future editions. Feedback was very positive, with 100 per cent of respondents saying they find the publication useful. We’ll use the feedback to make improvements to future editions.
Stakeholder comments: “It is an indispensable source of information on private sector DB, and is greatly appreciated.” “A unique and incredibly valuable publication.” “A terrific document in which its authors should take pride!”
Built for innovation
We operate in a rapidly changing environment – not just in terms of the scale of the claims we must manage, but in the expectations of our members and levy payers, developments in technology and in the institutional and regulatory landscape in which we operate.
In order to be successful in this environment we must be an agile, innovative business, able to identify and respond to opportunities as they present themselves.Download chapter
Workforce management tool
Thanks to the introduction of our new Workforce Management Tool, our contact centre is now reaping the benefits of increased efficiency through improved resource planning,…
Thanks to the introduction of our new Workforce Management Tool, our contact centre is now reaping the benefits of increased efficiency through improved resource planning, more effective call volume forecasting and more consistent achievement of Service Level Agreements (SLAs). It is proving hugely beneficial in helping contact centre team leaders with advance planning, which in turn helps operations run more smoothly.
"With the Workforce Management Tool we can confidently forecast call volumes at half-hourly intervals, for any given day, up to a month in advance. Having this level of visibility across our workload means we’re now able to identify pinch points where extra support may be needed and we can make sure we have the right amount of cover throughout the day to provide a great service. It’s made a real difference to the way we work."
Trevor Davis, Deputy Head of Operations and Contact Centre Manager
Did you know?
►We now manage the majority of our invested assets in-house, which gives us complete control over the portfolio. We can react quickly and efficiently to market movements while adhering to strict governance standards.
Brilliant service for members and schemes
We know our members and levy payers do not have a choice in using our service. This has reinforced our ambition to focus hard on the award-winning standard of service we deliver.Download chapter
A member’s words
"I would like to say that one of your representatives was absolutely amazing and fantastic today. She was so clear and precise and got all the information that I required… straight away. And I must congratulate you on being so, so professional and thorough."
Did you know?
►We want to raise the bar for the industry as a whole. We’ve been breaking down the boundaries on what was thought to be possible by developing new services for DB members. We talk to many pension schemes about our innovations. We hope this will improve both the automation and member
experience in an industry often thought to lag behind in this area because of the sheer complexity of pensions.
The best of financial and public services culture
Our culture is demonstrated from the top down, in the behaviours and values we exhibit, and the way we deal with challenges. We span the public and private sectors, with our employees drawn from both.
This is a key strength for the organisation and one which we are developing further. In order to focus better on our members and levy payers, we draw on the best of the financial services industry, including the standards by which they are held to account.Download chapter
“When I arrived at the PPF for my interview, the recruitment team who did my first interview were very welcoming and approachable. They allowed me time to think…”
“When I arrived at the PPF for my interview, the recruitment team who did my first interview were very welcoming and approachable. They allowed me time to think of an answer to questions they had and were very patient compared to previous employers. If I had any questions, they would answer them and reassure me.
When I was offered the job, the HR team made contact with an organisation called AppaMe, who suggested that I have a support worker. Having my support worker has definitely helped me relax and fulfil my role to the best of my ability. HR also adjusted my working hours around my college hours to help me complete my course effectively.
The most helpful adjustment that was made was around my work space. In contrast to my colleagues, who hot desk, I have a permanent desk, which has given me routine.
HR also arranged a meeting between myself and my manager outside of work to help me better understand my role. It was arranged to meet each of my team colleagues individually to understand their role and how mine would fit in.
The recruitment team helped set a positive image of the PPF which enticed me to join the organisation and have reassured me every step of the way.”
Did you know?
►We aim to be an employer of choice for women. We’re proud of the focus we’ve put into encouraging a positive work-life balance and for our family-friendly policies. We also know his is not limited to women and recognise the wider benefits of allowing men to share childcare and caring commitments.
Of the 10 men who took paternity leave in the last year, half of them also took shared parental leave. The national rate of uptake for this could be as low as two per cent, according for the Department for Business, Energy and Industrial Strategy, so we’re encouraged that our culture allows men to feel able to take this opportunity.
Clear value for money
We’re growing and we’re determined to manage that growth efficiently, utilising our increased scale to drive productivity.Download chapter
Value for money
We undertook a value for money review, examining all significant expenditure for the previous 18 months and looking forward a year.
We undertook a value for money review, examining all significant expenditure for the previous 18 months and looking forward a year. The aim was to establish whether we had encouraged competition from suppliers for each procurement exercise, whether we had benchmarked prices and whether we had plans in place to ensure value for money.
We now have plans for 100 per cent of the contracts we looked at or clear rationales where we are not competing or benchmarking. The ExCo will review the latter quarterly.
We now have an upgraded approach to commercial management which integrates our plans for sourcing, contract management and supplier assurance in one place.
As a result of this review, we are confident that we are getting value for money from suppliers by encouraging competition on price, challenging our people to make sure they are purchasing external services for the right reasons, and exploring all options when we procure goods and services.
Did you know?
►We reduced our operating expenses by six per cent in 2019/20.
Making a difference in our community
2019/20 was another successful year for our Corporate Social Responsibility (CSR) programme. Following the success of the previous year, our employees chose to continue our charitable partnership with Mind in Croydon.Download chapter
Our Chief Investment Officer
"I've known people who have struggled with their mental health and I think it’s great that there’s far more discussion and awareness now than ever before, but there’s still a way to go. Thankfully, there are a lot of terrific organisations out there doing incredible things."