Accounts in Brief

 * The Trustee is in the process of carrying out a full valuation at 31 March 2018. The position shown is indicative based on the approach used for the 2015 valuation and the final outcome of the 2018 valuation is likely to differ. See the funding position section below for more details.

* The Trustee is in the process of carrying out a full valuation at 31 March 2018. The position shown is indicative based on the approach used for the 2015 valuation and the final outcome of the 2018 valuation is likely to differ. See the funding position section below for more details.

Funding position

The Scheme Actuary provides the Trustee with an update of the Scheme’s funding level each year. This is either a formal valuation, which is carried out at least every three years (the triennial valuation), or an annual estimate in the intervening years.

The last formal valuation was carried out at 31 March 2015. The amount required to cover the Scheme’s liabilities is known as the Technical Provisions. In the 2015 valuation, the Technical Provisions amounted to £5,094m, giving a Scheme surplus of £67m and a funding level of 101%.

The Trustee is in the process of carrying out a full valuation as at 31 March 2018, and is aiming to complete the process later this year. This will include agreeing new actuarial assumptions with the Company to determine the Technical Provisions.

The Trustee continues to monitor the funding position of the Scheme using the assumptions that were put in place for the 2015 valuation to ensure the funding arrangements remain appropriate. The Scheme Actuary has estimated the Scheme had a surplus of £17m at 31 March 2018 using the 2015 valuation assumptions. The actual position for the 31 March 2018 valuation will depend on the updated assumptions agreed by the Trustee and Company and will therefore differ from this. We anticipate the Scheme will be in surplus following completion of the triennial valuation.