Falling interest rates have pushed up the costs attributed to company pension funds to meet their obligations. This pushed the liabilities of defined benefit schemes up by 20pc compared with the start of the year, Mercer said. The liabilities, or the cost of funding schemes, finished the year 10pc higher than at the start of last year. Defined benefit schemes promise to pay a set level of pension based on final salary and length of service. "While deficits have remained stable, the cost of funding defined benefit schemes will have increased due to lower yields," Mr Gray added.

Source: Irish Independent February 12, 2020 02:37 UTC