£14.2bn: Pensions black hole

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BT's deepening pensions black hole

Thursday 27 Oct 2016 Author: Steven Frazer

Story In Numbers

Is the gaping deficit on BT’s (BT.A) pension liabilities, according to calculations by analysts at investment bank UBS. This implies that the black hole has increased 42% since the £10bn figure disclosed by trustees at the telco’s last triennial valuation in June 2015. Inflation assumptions and gilt yields are largely to blame with every 10 basis point increase in inflation assumptions reckoned to add around £700m to the liability.

27 Oct 2016

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