In the news - USS’s 2017 valuation

Update for retired and deferred members

You may have seen recent coverage in the national media relating to USS, its funding position and the current triennial valuation.

Firstly, please be assured that USS does not have a £17.5 billion funding deficit. Following a consultation with Universities UK on the prudent assumptions proposed for the 2017 valuation, the trustee believes there is a funding deficit of just over £7.5bn – which would mean the scheme is 89% funded.

The valuation has not yet been finalised. The next step is for the stakeholders to consider what benefits they wish to offer in future. Proposals to address the funding deficit will form part of these discussions, but it remains within the affordable means of the scheme’s 350-plus participating employers, including the oldest and most prestigious universities in the UK, to recover over time..

The trustee’s ‘best estimate’ view of the future (that is, a 50% probability that our investment forecasts are met or exceeded) is that the scheme actually has a significant surplus, but we have a legal duty to be prudent in our funding assumptions to ensure your benefits are secure.

How does this affect me?

On this point, as a deferred member (no longer paying in to the scheme) or a retired member (already in receipt of your USS pension), it is important for you to know that your benefits are secure. The law means they cannot be reduced as a result of any discussions around the valuation. It would require all of the employers supporting USS to become insolvent before there was any prospect of your pensions being affected. The trustee takes its responsibility to secure the benefits promised to date very seriously.

Find out more

You can find out more about the 2017 valuation using the useful links on the right.

Contact us

If you’d like to talk to someone at USS about any of the information we’ve provided about the valuation, please use our online contact form and choose the '2017 valuation enquiry' option from the 'Enquiry Type' dropdown.

Published date: 2 October 2017

Last updated: about 3 years ago
Deferred access

Useful links