The deficit of the Social Housing Pension Scheme (SHPS) fell by £615m amid "better than expected" investment returns, standing at £945m as at 30 September 2021.

In communications sent out to members, TPT Retirement Solutions, who manages the SHPS, confirmed that the scheme's funding has also improved from 77 per cent in 2020 to 84 per cent as at 30 September 2021.

The letter revealed that although scheme assets had fallen from £5,148m to £4,941m, this was more than offset by a fall in liabilities, from £6,708m to £5,886m.

It also noted that, since 30 September 2020, investment returns have been “better than expected” with both bulk transfers and the payment of deficit contributions further helping to reduce the deficit and improve the funding position.

In addition to this, the letter highlighted the recovery plan previously agreed with participating employers, which is expected to recover the technical provisions deficit by 31 March 2028, with participating employers required to make cash contributions as part of this.

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