U.K. defined benefit funds covered by the Pension Protection Fund's 7800 index saw their aggregate deficit decline in April to £6.4 billion ($8.3 billion) from £43.9 billion at the end of March.
The London-based lifeboat for pension funds of insolvent U.K. companies said in an update Tuesday that the funding level increased to 99.6% as of April 30 vs. 97.4% as of March 31. On April 30, 2018, the funding level was 97.5%.
Assets were flat over the month and increased 4.3% during the year to £1.649 trillion. For the month, liabilities declined 2.2% but increased 2.2% for the year to £1.656 trillion.
PPF said in its update that the FTSE All-Share index gained 2.7% for the month and 2.6% for the year. Five- to 15-year index-linked gilt yields rose 8 basis points in April and fell 46 basis points over the year.
As of April 30, 56.7% of the 5,450 pension funds covered by the index were underfunded, down from 59.9% on March 31. As of March 31, 2018, 60.3% of the 5,450 pension funds covered by the index were in deficit.