RETIREMENT BENEFIT OBLIGATIONS (Tables) [Line Items]

Disclosure of defined benefit plans [text block]

	2019			2018
	£m			£m
Analysis of the defined benefit obligation:
Active members		(6,413	)		(6,448	)
Deferred members		(16,058	)		(14,208	)
Pensioners		(21,032	)		(18,885	)
Dependants		(1,738	)		(1,551	)
		(45,241	)		(41,092	)

RETIREMENT BENEFIT OBLIGATIONS (Tables) [Line Items]

Disclosure of claims and benefits paid [text block]

	2019								2018
	Quoted		Unquoted			Total			Quoted			Unquoted			Total
	£m		£m			£m			£m			£m			£m
Equity instruments		555		39			594			637			222			859
Debt instruments¹:
Fixed interest government bonds		8,893		–			8,893			7,449			–			7,449
Index-linked government bonds		18,207		–			18,207			16,477			–			16,477
Corporate and other debt securities		10,588		–			10,588			8,813			–			8,813
Asset-backed securities		–		–			–			138			–			138
		37,688		–			37,688			32,877			–			32,877
Property		–		158			158			–			556			556
Pooled investment vehicles		4,773		10,585			15,358			4,578			10,494			15,072
Money market instruments, cash, derivatives and other assets and liabilities		204		(8,211	)		(8,007	)		(283	)		(6,843	)		(7,126	)
At 31 December		43,220		2,571			45,791			37,809			4,429			42,238

1

Of the total debt instruments, £33,134 million (31 December 2018: £29,033 million) were investment grade (credit ratings equal to or better than ‘BBB’).

RETIREMENT BENEFIT OBLIGATIONS (Tables) [Line Items]

Disclosure of defined benefit plans [text block]

The principal actuarial and financial assumptions used in valuations of the defined benefit pension schemes were as follows:

	2019		2018
	%		%
Discount rate		2.05		2.90
Rate of inflation:
Retail Prices Index		2.94		3.20
Consumer Price Index		1.99		2.15
Rate of salary increases		0.00		0.00
Weighted-average rate of increase for pensions in payment		2.57		2.73

RETIREMENT BENEFIT OBLIGATIONS (Tables) [Line Items]

Disclosure of defined benefit plans [text block]

	Effect of reasonably possible alternative assumptions
	Increase (decrease) in the income statement charge						(Increase) decrease in the net defined benefit pension scheme surplus
	2019			2018			2019			2018
	£m			£m			£m			£m
Inflation (including pension increases):¹
Increase of 0.1 per cent		12			14			467			410
Decrease of 0.1 per cent		(12	)		(14	)		(460	)		(395	)
Discount rate:²
Increase of 0.1 per cent		(20	)		(27	)		(763	)		(670	)
Decrease of 0.1 per cent		21			25			784			686
Expected life expectancy of members:
Increase of one year		40			43			1,636			1,299
Decrease of one year		(39	)		(42	)		(1,575	)		(1,257	)


1	At 31 December 2019, the assumed rate of RPI inflation is 2.94 per cent and CPI inflation 1.99 per cent (2018: RPI 3.20 per cent and CPI 2.15 per cent).

2	At 31 December 2019, the assumed discount rate is 2.05 per cent (2018: 2.90 per cent).

RETIREMENT BENEFIT OBLIGATIONS (Tables) [Line Items]

Disclosure of defined benefit plans [text block]

	2019	2018
	£m	£m
Maturity analysis of benefits expected to be paid:
Within 12 months	1,274	1,225
Between 1 and 2 years	1,373	1,299
Between 2 and 5 years	4,455	4,303
Between 5 and 10 years	8,426	8,305
Between 10 and 15 years	9,229	9,416
Between 15 and 25 years	17,400	18,417
Between 25 and 35 years	13,999	15,631
Between 35 and 45 years	8,291	9,924
In more than 45 years	3,160	4,270

RETIREMENT BENEFIT OBLIGATIONS (Tables) [Line Items]

Disclosure of claims and benefits paid [text block]

The expense recognised in the income statement for the year ended 31 December comprises:

	2019			2018			2017
	£m			£m			£m
Current service cost		201			261			295
Net interest amount		(48	)		(22	)		(1	)
Past service credits and curtailments		–			12			10
Settlements		1			1			3
Past service cost – plan amendments		44			108			14
Plan administration costs incurred during the year		43			41			41
Total defined benefit pension expense		241			401			362

RETIREMENT BENEFIT OBLIGATIONS (Tables) [Line Items]

Disclosure of analysis of present value of defined benefit obligation that distinguishes nature, characteristics and risks [text block]

	2019			2018
	£m			£m
Amount included in the balance sheet
Present value of funded obligations		(45,241	)		(41,092	)
Fair value of scheme assets		45,791			42,238
Net amount recognised in the balance sheet		550			1,146

RETIREMENT BENEFIT OBLIGATIONS (Tables) [Line Items]

Disclosure of claims and benefits paid [text block]

	2019			2018
	£m			£m
Amounts recognised in the balance sheet
Retirement benefit assets		681			1,267
Retirement benefit obligations		(257	)		(245	)
Total amounts recognised in the balance sheet		424			1,022

RETIREMENT BENEFIT OBLIGATIONS (Tables) [Line Items]