The latest Pension Explorer analysis of Lane Clark & Peacock (LCP) at September 30, 2025, reveals that UK pension schemes of FTSE100 companies “continue to show strong financial health” with a combined IAS19 surplus exceeding £55 billion, representing a 120% aggregate funding level.

“Behind this aggregate funding figure, the funding levels for individual schemes vary, with levels ranging between around 90% and over 150%,” said LCP.

“This underlines the need for all schemes to consider the endgame strategy that is right for their own specific circumstances and objectives, rather than follow any one size fits all solution or wider market trends.

“This theme has been echoed in public statements by the Pensions Regulator, with comments last month stressing the importance of Trustees considering endgame and surplus options and focussing on the long-term interests of pension scheme members.

“As part of this, they have suggested that ‘trustees should consider … surplus use to strengthen covenants or improve member outcomes’.”

Jonathan Griffith, Partner and Head of Endgame Innovation at LCP: “With robust funding levels and over £55bn in surplus across FTSE100 schemes, the conversation has firmly shifted from funding to future-proofing and delivering value.

“We’ve been able to help trustees and pension scheme sponsors use the tools, flexibility, and market innovation to turn strong funding into stronger outcomes.”