Savills plc 2012 Annual Report - (PDF) - Investor relations

Notes to the financial statementsYear ended 31 December 2012continuedUsing post-retirement mortality assumptions, the assured life expectations on retirement at age 60 (2011: 60) are as follows:Group2012 2011Retiring today – Male 88.1 88.1– Female 89.3 89.2Retiring in 20 years – Male 89.6 89.5– Female 90.9 90.8Sensitivity analysis:Change in assumption on discount rate:Increase by 0.5% p.a. (2011: increase by 0.5% p.a.)Impact on liabilities Decrease by 10.6% (2011: decrease by 10.7%)The amounts recognised in the statement of financial position are as follows:Group2012£m2011£mCompany2012£mFair value of plan assets 151.7 129.0 8.4 7.1Present value of funded obligations (179.6) (164.6) (9.9) (9.1)Deficit (27.9) (35.6) (1.5) (2.0)Related deferred tax asset 6.4 9.0 0.4 0.5Net liability (21.5) (26.6) (1.1) (1.5)The amounts recognised in the income statement:Group2012£mInterest cost 8.0 7.7Expected return on plan assets (8.8) (8.7)Total included in staff costs (0.8) (1.0)All net actuarial gains or losses for each year are recognised in full in the year in which they are incurred in the statement ofcomprehensive income.Change in defined benefit obligation:Group2012£m2011£mCompany2012£mPresent value of defined benefit obligation at start of year 164.6 141.8 9.1 7.8Interest cost 8.0 7.7 0.4 0.4Actuarial loss 9.3 16.1 0.5 0.9Benefits paid (2.3) (1.0) (0.1) –Present value of defined benefit obligation at end of year 179.6 164.6 9.9 9.12011£m2011£m2011£m82 Savills plc Report and Accounts 2012