Today we’ve published our Annual Report and Accounts 2021/22. While market conditions were favourable over the year, our investment team beat every benchmark, putting us in an even stronger financial position as we look to the future of our funding.
A successful year
The report highlights our achievements against our 2019-22 strategic priorities. We’ve now achieved these priorities, putting us in a position of strength for the future so that we can continue to support our 400,000+ PPF and FAS members.
We paid £1.1bn to members
In 2021/22 we paid £1.1bn in PPF member payments – more than ever before – highlighting the importance of the protection we provide to existing members and the 9.7m members of UK defined benefit pension schemes.
Exceptional investment performance
Our investment performance over the past financial year played a key role in strengthening our financial position, increasing our funding ratio to 137.9% and our reserves to £11.7 bn. A key highlight was our continued focus on sustainable investment, which allowed us to grow our global forestry portfolio by 20 per cent to hit £1bn in the past year.
Our long-term funding strategy
Against this backdrop, we’ll now complete our review of our long-term funding strategy. We’re considering the role levy will play in maintaining financial resilience and will consider changes as part of our consultation on the 2023/24 levy in September.
Outstanding service for our members
Through our Efficiency and Service Improvement Programme, we surpassed the targets we set ourselves for online transactions, simultaneously reducing our cost per member and maintaining our excellent customer satisfaction scores.
IT transformation programme
Our three-year IT transformation has given us the tools we needed to achieve many of our strategic objectives. With significantly better IT infrastructure and cloud-based tools, we’ve also been able to progress our hybrid working model.
Fraud Compensation Fund claims
We now have the processes we need to step up the pace at which we settle claims. We’ve also continued the complex work of processing changes to the compensation we pay.
Building on the strong foundations we’ve put in place over the last three years, we look forward to delivering on the commitments set out in our new Strategic Plan.