The total pensions deficit of FTSE 100 companies of more than £40bn ($68.7bn) would become a surplus of £3bn if UK actuaries used the same mortality tables as German actuaries, according to a study to be released today by Cass Business School.
The study, which looked at actual life expectancy across Europe and the basis upon which European company pension liabilities were calculated, found that in some countries actuaries were using longevity forecasts that were likely to understate the true cost of providing pensions.
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