v3.26.1
Retirement benefit obligations (Tables)
6 Months Ended
Jun. 30, 2026
Disclosure of defined benefit plans [abstract]  
Schedule of defined benefit scheme obligations The Group’s post-retirement defined benefit scheme obligations are comprised as follows:
At 30 Jun
2026
£m
At 31 Dec
2025
£m
Defined benefit pension schemes:
Present value of funded obligations
(25,483)
(26,571)
Fair value of scheme assets
28,262
29,183
Net pension scheme asset
2,779
2,612
Other post-retirement schemes
(35)
(37)
Total amounts recognised in the balance sheet
2,744
2,575
Recognised on the balance sheet as:
Retirement benefit assets
2,860
2,695
Retirement benefit obligations
(116)
(120)
Total amounts recognised in the balance sheet
2,744
2,575
Schedule of movements in net post-retirement defined benefit scheme asset Movements in the Group’s net post-retirement defined benefit scheme asset during the period were as follows:
£m
Asset at 1 January 2026
2,575
Income statement credit
15
Employer contributions
63
Remeasurement
91
Asset at 30 June 2026
2,744
Schedule of charges to income statement The charge to the income statement in respect of pensions and other post-retirement benefit schemes is
comprised as follows:
Half-year
to 30 Jun
2026
£m
Half-year
to 30 Jun
2025
£m
Half-year
to 31 Dec
2025
£m
Defined benefit schemes
(15)
(15)
(22)
Defined contribution schemes
291
285
279
Total charge to the income statement
276
270
257
Schedule of principal assumptions used in valuations The principal assumptions used in the valuations of the defined benefit pension schemes were as follows:
At 30 Jun
2026
%
At 31 Dec
2025
%
Discount rate
6.03
5.57
Rate of inflation:
Retail Price Index (RPI)
2.77
2.65
Consumer Price Index (CPI)
2.33
2.13
Rate of salary increases
0.00
0.00
Weighted-average rate of increase for pensions in payment
2.61
2.52