Actuarial Information
The Fund is subject to an actuarial valuation every three years, this being carried out by Hymans Robertson.
The latest valuation looked at the Fund's position as it was on 31 March 2007. This exercise showed was that the overall funding level of the Wiltshire Pension Fund is now 85%, i.e the investments of the Fund are currently insufficient to meet all pension liabilities earned to date.
However, the investments are "in the bank", whereas the pension liabilities are payable over a period stretching some sixty years into the future. The real issue, therefore, is whether or not the Fund will be able to meet those pension payments at the time they become payable.
The Wiltshire Pension Fund operates the fund on an unitisation basis. This effectively splits out the assets and liabilities into sub funds for each employer.
If an employer's sub-fund does not have enough assets to pay all pension liabilities accrued to the valuation date, the actuary asks them to pay in additional money. This is added to the Fund's investments, because this money is not needed yet to pay pensions. Depending on the particular employer, this deficit position will typically be recovered over 14 to 20 years, where its investments do match the value of all pension liabilities arising in the future.
Details of the latest actuarial valuation results can be found in the Actuarial Valuation Report of Hymans Robertson. This report includes details of contribution rates required to be paid into the Fund by employer bodies for the three year period commencing 1 April 2008.
Please contact us if you need further information
Wiltshire Pensions Fund, County Hall,Trowbridge, Wiltshire, BA14 8JJ.
© 2007 Wiltshire Pension Fund.