The majority of U.K. retirement funds have completed formal assessments of the risks of the country's impending exit from the European Union, according to a new survey from the Pensions and Lifetime Savings Association.
According to the survey of 71 representatives of U.K. defined benefit and defined contribution plans conducted in August and September, 88% of those plans' boards have discussed the potential impact of Brexit in 2019, up from 63% the previous year.
Sixty-three percent, meanwhile, have formally assessed Brexit risks, up from 26% the previous year, and 75% of surveyed representatives said they have discussed the potential impact of Brexit with their sponsoring employers, up from 61% in 2018.
"The PLSA has been engaging with the government and regulators to ensure they fully understand pension schemes' perspective on Brexit," said James Walsh, head of member engagement at the PLSA, in the news release. "We have also recommended actions for pension scheme trustees to ensure their scheme is well placed to deal with Brexit. Our survey shows pension schemes have given a great deal of thought to the impact of Brexit on their operations and are well prepared. Savers should be reassured that their pensions are looked after."
Among surveyed respondents, 33% felt that Brexit could have a negative impact on their assets, down from 45% in the previous survey. However, 45% of respondents in the current survey said Brexit will have a "negative impact on their employer covenant," the news release said.