Transport for LondonPensions
Skip to navigationThe majority of TfL's employees are members ofthe TfL Pension Fund. Over the last year, therecovery in the world stock markets has resulted in an increase in the fair value of the assets of thePublic Sector Section of the TfL Pension Fund, and the deficit of pension scheme assets over future liabilities has reduced significantly.
At 31 March 2005, when the FTSE index stood at 4894.4, the Pension Fund had a deficit under Financial Reporting Standard 17 of £946m. The FTSE 100 at 31 March 2006 had risen by 22 per cent to 5964.6 and the scheme deficit had declined by 20 per cent to £752m.
In addition, at 31 March 2006 the Group had future liabilities under unfunded pension arrangements of £37m (2005 £40m).
The last full actuarial valuation of the Public Sector Section of the TfL Pension Fund was carried out as at 31 March 2003.
This valuation showed a deficit for funding purposes of £421m, and as a result of this the contributions of the employers were increased to 30.5 per cent. The next full valuation for funding purposes is currently being carried out as at 31 March 2006.
The results of this valuation will be available later in the year. The Group will continue with its current level of contribution to the Pension Fund for the forthcoming year, although the level of contributions for subsequent years may be reviewed when the results of the funding valuation are available.Previous Page: Financing
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