BT 2015 Annual Report Download - page 46

44 BT Group plc
Annual Report 2015
Risk description Impact Link to strategy
Pensions
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Scheme (BTPS or Scheme).
he  faces siilar riss to other defined benefit schees.
uture low investent returns lower interest rates hih
ination loner life epectanc and reulator chanes a
all result in the cost of fundin the  becoin a ore
sinificant burden on our financial resources.
he net valuation of the  is scheduled to tae place as at
0 une 01 and an increase in the pension deficit a have
an ipact on the level of deficit paents we are reuired to
ae into the chee. ndirectl it a also have an adverse
ipact on our share price and credit ratin.
n deterioration in our credit ratin would increase our cost
of borrowin and a liit the availabilit or eibilit of
future fundin for the roup thereb aectin our abilit
toinvest pa dividends or repa debt as it atures.
 Transform our costs
Growth in a competitive market
We operate in markets which are characterised by: high levels
of change; strong and new competition; declining prices and,
in some markets, declining revenues; technology substitution;
market and product convergence; customer churn; and
regulatory intervention to promote competition and reduce
wholesale prices.
ailure to achieve sustainable profitable revenue rowth
could erode our copetitive position and reduce our
profitabilit cash ow and abilit to invest for the future.
 nvest for rowth