BT 2015 Annual Report Download - page 91

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Overview
The Strategic Report
Purpose and strategy Delivering our strategy 0ur lines of business Group performance
Governance Financial statements Additional information
Pensions
Overview
e provide a nuber of retireent plans for our eploees. he larest
of these plans is the  ension chee  a defined benefit plan
in the UK. lthouh closed to new ebers the  still has around
000 active ebers 19000 pensioners and 00 deferred
ebers. he  etireent avin chee  is the current
arraneent for UK eploees who oined the roup after 1 pril 001.
t has around 9000 active ebers.
he  and  are not controlled b the oard. he  is
anaed b a separate and independent rustee. etails of the
overnance of the  its financial position the perforance of its
investents and a suar of eber benefits are available in the
 nnual eport published b the rustee in eceber 01
onthe rustee website www.btpensions.net.
he  is a contract-based defined contribution arraneent
provided b tandard ife under which ebers choose their own
investents and receive benefits at retireent that are lined to the
perforance of those investents.
e aintain retireent arraneents in ost other countries with
afocus on these bein appropriate for the local aret and culture.
e have iven ore inforation on our pension arraneents and on
the fundin and accountin valuations in note 19 to the consolidated
financial stateents.
BTPS funding valuation and future funding obligations
he fundin of our ain defined benefit pension plan the 
issubect to leal areeent between  and the rustee of the 
and is deterined at the conclusion of each triennial valuation. he ost
recent triennial fundin valuation at 0 une 01 and the associated
deficit contribution plan was areed with the rustee and certified b
thechee ctuar in anuar 01.
t 0 une 01 the aret value of assets was 0.bn and the
fundin deficit was .0bn. here are a wide rane of assuptions
that could be adopted for easurin pension liabilities and leislation
reuires that this deficit is based on a prudent view  for eaple
assuin a lower future investent return than iht be epected
inpractice.
 1-ear deficit contribution plan was areed reectin s lon-ter
and sustainable cash ow eneration. Under this plan we ade deficit
paents of  in arch 01 and  in pril 01. urther
paents of 0 will be ade in each of 011 and 011
brinin the total for the three ears to 1 arch 01 to .0bn.
Accounting position under IAS 19
he accountin deficit net of ta has increased in the ear fro .bn
to .1bn. he oveents in the deficit are shown below.
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Income
statement
Actuarial
movements
Cash
contributions
Actuarial losses on liabilities
Actuarial gains on assets
eficit at 31 March 2015
eficit at 1 April 2014
Service cost
et finance cost
Regular contributions
eficit contributions
(11.0)
(10.0)
(9.0)
(6.0)
(5.0)
(7.0)
(8.0)
(4.0)
eficit
(£bn)
eficit net of tax Deferred tax asset
(0.3)
(0.3)
0.2
0.9
(4.1)
3.0
(1.4)
(1.5) (6.1)
(5.6)
ctuarial ains on plan assets for 011 reect actual investent
returns in the  over the ear of around 1 which were above the
 19 discount rate of ..
 fall in the real discount rate for the  fro 0.9 to 0.9
ledto an increase in the liabilities which is shown as an actuarial loss on
liabilities. his was partiall oset b a fall in liabilities reectin schee
and ebership eperience over the ear followin the use of updated
ebership data.
The BT Pension Scheme at
www.btpensions.net
Find out more