Companies fail to address increasing scheme member longevity

For every extra year a pension scheme member lives, liabilities increase 3%, according to Club Vita's Gaches

Some of the country's largest firms are ignoring the threat of increased member longevity and have failed to increase their assumptions, analysis of accounts reveals.

Longevity analysis firm Club Vita scrutinised the 2010 annual accounts of 118 FTSE 350 companies with defined benefit pension schemes. It found 57 of these had not increased their longevity assumptions – despite male life expectancy at age 65 increasing by more than three months a year.

However, the company said the remaining 61