PPF reveals £60bn improvement in scheme funding levels

The lifeboat fund's PPF7800 index - which tracks the performance of nearly 7400 schemes - said the improvement meant the total deficit in UK pension funds had fallen to £32.6bn at the end of December last year.

This compares to a deficit of £92.5bn at the end of November last year - and a shortfall of £190.6bn at the end of 2008.

The PPF said the total deficit of schemes in deficit in December is estimated to have improved to £90.7bn from £132.9bn at the end of November.

In December 2008, the aggregate deficit of all schemes in deficit stood at £208.7bn.

It added the total surpluses of schemes in surplus increased to £58.1bn from £40.4bn at the end of November 2009 and £18.1bn at the end of December 2008.