Unilever records €0.9bn pensions deficit

Unilever’s pension liability net of assets rose to €0.9bn (£790m) as at 31 December 2018, a €0.6bn (£525m) increase on its recorded H1 2018 results.

The consumer goods company said the increase was driven by the impact of “adverse equity markets” in Q4 2018.

The results are also a €0.3bn (£263m) increase on the €0.6bn (£525m) recorded at the end of 2017.

Unilever said: “Pension liability net of assets increased to €0.9bn (£790m) at year-end from €0.6bn (£525m) as at 31 December 2017. The increase in the net pension liability arose in the fourth quarter driven by the impact of adverse equity markets on pension assets.”

As a result, the group said its pensions financing charge was €25m (£22m) for 2018, down from the €96m (£84m) recorded in 2017, reflecting a lower pension deficit at the beginning of 2018.

In July, Unilever said it expected its remaining deficit to be dealt with through investment returns.

The group said it gained €142m (£124m) through the remeasurement of its defined benefit pension plans, down from the €641m (£561m) during the first half of 2017. Its pension assets for funded schemes in surplus hit €2.3bn (£2bn), up from the €2.17bn (£1.9bn) as of 31 December 2017.

    Share Story:

Recent Stories


Private markets – a growing presence within UK DC
Laura Blows discusses the role of private market investment within DC schemes with Aviva Director of Investments, Maiyuresh Rajah

The DB pension landscape 
Pensions Age speaks to BlackRock managing director and head of its DB relationship management team, Andrew Reid, about the DB pensions landscape 

Podcast: From pension pot to flexible income for life
Podcast: Who matters most in pensions?
In the latest Pensions Age podcast, Francesca Fabrizi speaks to Capita Pension Solutions global practice leader & chief revenue officer, Stuart Heatley, about who matters most in pensions and how to best meet their needs

Advertisement Advertisement Advertisement