Now in its 16th edition, The Purple Book is the most comprehensive data and analysis of the UK defined benefit (DB) pension landscape. It’s vital for helping us understand the risks we face as an organisation with obligations to our members, in an environment of significant uncertainty.
Last year we introduced an interactive feature of The Purple Book, enabling users to create custom graphs and charts that they can download.
We had positive feedback on this new addition and this year’s Purple Book continues to be the most accessible its ever been.
This year’s Purple Book dataset covers 5,215 schemes – 99.9 per cent of the estimated 5,220 schemes eligible for PPF compensation as at 31 March 2021.
While the overall net funding position improved to a surplus of £46.9 billion, just under half of schemes remained in deficit at 31 March 2021.
The latest edition of The Purple Book also reveals that the total funding ratio increased over the year from 94.9 per cent to 102.8 per cent, primarily due to market movements.
“2,525 of the 5,220 schemes under our protection remain underfunded and have an aggregate deficit of £129bn. Many of these schemes have individual deficits which would, if they were to claim, have a significant impact on our balance sheet,” said Lisa McCrory, our Chief Finance Officer and Chief Actuary.
“Our funding position is very strong, as is our probability of success, and we want to reassure the 9.7 million DB pension savers under our protection that we’re in an excellent position to continue to protect them,” she added.
Register for our Purple Book webinar on Thursday, 9 December to learn more.