1. Tuition fees and education contracts

Consolidated & University
2020 2019
£m £m
Full-time UK students 86.5 84.1
Full-time EU students 13.8 13.9
Full time overseas students 57.5 55.6
Part-time higher education students 5.7 4.8
Short course and apprenticeship fees 2.4 2.9
Research training support grants and other fees 8.7 8.6
174.6 169.9

2. Funding body grants

Consolidated and University
2020 2019
£m £m
Office for Students Recurrent Grants 28.3 27.3
Office for Students Specific Grants 5.4 4.6
Office for Students Capital Grants 2.6 3.0
36.3 34.9

3. Research grants and contracts

Consolidated and University
2020 2019
£m £m
UK Research and Innovation (UKRI) 19.3 20.6
UK charitable bodies 2.7 2.3
European Commission 4.4 5.5
UK central government, Local Authorities or Health Trust 3.8 4.5
UK industry 3.1 3.6
Other sponsors 3.8 3.1
37.1 39.6

4. Other income

Consolidated and University
2020 2019
£m £m
Residences, catering and conferences 27.1 34.7
Other services rendered (note 5) 5.9 7.9
Retail income 3.5 4.9
Other income 9.6 5.5
46.1 53.0

5. Other services rendered

Consolidated and University
2020 2019
£m £m
Academic departments and services 1.4 2.1
Sports and related facilities 3.6 4.6
Other 0.9 1.2
5.9 7.9

6. Investment income

Consolidated and University
2020 2019
£m £m
Investment income on endowments 0.2 0.1
Net income and gains from short-term investments 0.2 1.8
Other investment income 1.0 1.3
1.4 3.2

7. Donations and endowments

Consolidated
2020 2019
£m £m
Capital donations - 6.3
New endowments - 0.6
Donations with restrictions 0.4 0.5
Unrestricted donations 1.8 1.8
2.2 9.2
University
2020 2019
£m £m
Capital donations - 6.3
New endowments - 0.6
Donations with restrictions 0.4 0.5
Unrestricted donations 1.7 1.7
2.1 9.1

8. Staff costs

Consolidated and University
2020 2019
£m £m
Salaries 141.1 134.0
Movement in USS pension provision (33.7) 50.7
Social security costs 12.8 12.3
Other pension costs 28.8 24.9
149.0 221.9
less: paid on behalf of other organisations (4.4) (4.3)
less: capitalised within the cost of buildings (0.4) (0.3)
144.2 217.3
Access and Participation
Access Investment 1.8 -
Financial Support - -
Disability Support (excluding expenditure included in severance payments and key management personnel) 0.3 -
Research and Evaluation - -
2.1 -

Further information on staff costs is included within the Annual Report of The Remuneration Committee.

9. Analysis of expenditure by activity

2020 2019
£m £m
Academic departments 113.8 109.1
Academic services 30.7 29.4
Central administration 18.4 19.9
General educational expenditure 20.2 21.1
Staff and student facilities 14.6 14.0
Premises 41.3 39.9
Residences, retail and catering operations 37.4 35.8
Research grants and contracts 25.3 28.0
Other services rendered 1.7 1.6
Other expenses (26.7) 55.4
Consolidated 276.7 354.2
University of Bath 276.6 354.2
Consolidated and University
Other Operating Expenses include: 2020 2019
£ £
External Auditors Remuneration (Group and University)
Audit Services
Financial statements - subsidiary 3,000 -
Financial statements - University 77,880 63,720
Other Fees 1,980 4,400
US federal loan 3,084 3,120
All fees incllude VAT
85,944 71,240
Access and Participation
Access Investment 2.6
Financial Support 4.3 -
Disability Support 0.3
Research and Evaluation - -
7.2 -

Read our published access and participation plan (APP).

Access investment

We have underspent by £573k, which reflects the fact we were unable to deliver a significant element of our face-to-face access activity because of the pandemic at a key point in the cycle (March through to August 2020) as well as planned expenditure for travel and participation in external events. In particular the costs associated with an extensive programme of residential summer schools were not required. In response to the pandemic the University was able to move much of this activity online, which was able to be delivered at a much lower cost to a much higher number of participants than originally intended. The University also opted to vire some resource indicated in the APP (e.g. AAP note 90 - funding for a proposed initiative with Generating Genius which did not pass internal scrutiny when subject to the tender process) to other planned outreach activity (expansion of sustained contact summer schools (APP note 85) and curriculum enhancement activity with the Brilliant Club (APP note 82).

Financial support

Actual financial support at £4,294k is £470k above the financial support APP submission of £3,824k. Financial support now includes payments in respect of placements, specific care leavers, PGT bursaries and young carers for which the budget was £468k and was budgeted for (and previously reported) as part of Progression and Student Success. For 2019/20 we raised the household income threshold to qualify for the Gold Scholarship and Bath Bursary to £25k/year (note 50 in the APP) which increased the number of eligible recipients, and also attracted some additional external funding for additional Income Contingent Scholarships. These amendments also contributed to the overall increase in financial support spend from the budget.

Research and evaluation

Costs incurred in 2019-20 for Research and Evaluation have been included under Access Investment as this was not recorded as a separate expenditure in the 2019-20 Access and Participation Plan but from 2020-21 has its own budget line.

10. Related party transactions

The financial statements of the University include transactions with related parties. In accordance with FRS 102 these are disclosed where members of the University of Bath’s Council or Key Management Personnel (KMP) disclose an interest in a body with whom the University undertakes transactions which are considered material to the University’s Financial Statements and/or the other party. Due to the nature of the University’s operations and the composition of the Board, being drawn from local public and private sector organisations, it is inevitable that transactions will take place with organisations in which a member of Council or KMP may have an interest. All transactions involving organisations in which a member of Council or KMP may have an interest, including those identified below, are conducted at arms length and in accordance with the University’s Financial Regulations and usual procurement procedures.

An updated register of the interests of the members of Council is maintained.

The University has taken advantage of the exemption within FRS 102 and has not disclosed transactions with other group entities where it holds 100% of the voting rights. Included within the financial statements are the following transactions with related parties:

Income recognised within the financial statements Expenditure recognised within the financial statements Balance due to the University at 31 July recognised within the financial statements Balance due from the University at 31 July recognised within the financial statements
Income recognised within the financial statements Expenditure recognised within the financial statements Balance due to the University at 31 July recognised within the financial statements Balance due from the University at 31 July recognised within the financial statements
£m £m £m £m
Student Loans Company 75.1 - 0.1 -
University of Bath Students’ Union - 1.7 0.1 -

Student Loans Company

The Student Loans Company administers loans and grants to students in universities and colleges in the UK. One member of Council is a director of the company.

University of Bath Students’ Union

The Students’ Union provides a range of services and facilities to the University’s student body. Two members of Council sit of the governing body of the Students' Union.

Reimbursements to members of Council for expenditure incurred whilst carrying out their duties amounted to £5,015 (2018/19 £7,249). 11 members of Council (2018/19 14) claimed expenses during the year.

11. Interest and other finance cost

Consolidated and University
2020 2019
£m £m
Loans not wholly repayable within five years 7.3 7.5
Change in discounted value of future USS payments (note 21) 1.5 0.6
Change in the fair value of derivatives (note 20) 1.2 1.0
LGPS net interest charge (note 26) 1.4 1.2
11.4 10.3

12. Capital commitments

Consolidated and University
2020 2019
£m £m
Provision has not been made for the following capital commitments at 31 July 2020
Capital Commitments
Funded by University funds 67.4 92.5
Funded by UKRI - 22.8
Capital commitments contracted at 31 July 67.4 115.3

13. Fixed assets

Consolidated
Freehold land and buildings Leasehold land and buildings Equipment Assets in the Course of Construction Total
£m £m £m £m £m
Cost / Valuation
At 1 August 2019 17.1 762.5 85.9 34.5 900.0
Additions at Cost 3.9 6.3 10.5 45.6 66.3
Disposals (3.0) (0.6) (1.0) - (4.6)
Revaluations - (39.4) - - (39.4)
Reclassifications 0.3 11.2 - (11.5) -
At 31 July 2020 18.3 740.0 95.4 68.6 922.3
Accumulated Depreciation
At 1 August 2019 1.0 2.5 68.8 0.9 73.2
Charge in year 0.5 29.0 4.6 0.2 34.3
Disposals - (0.2) (1.0) - (1.2)
Revaluations - (24.0) - - (24.0)
Reclassifications - 1.1 - (1.1) -
At 31 July 2020 1.5 8.4 72.4 - 82.3
Net book value
At 31 July 2020 16.8 731.6 23.0 68.6 840.0
At 31 July 2019 16.1 760.0 17.1 33.6 826.8

We revalue our freehold and leasehold Land and Buildings on a rolling basis with approximately 25% of the Estate valued each year. This valuation is carried out by Eddisons Commercial Limited, an external Chartered Surveyor on the basis of Existing Use, Depreciated Replacement Cost or Market Valuation according to the nature and use of each building. The valuation was prepared in accordance with the Valuation Standards published by the Royal Institute of Chartered Surveyors.

The 31 July 2020 Valuation from Eddisons Commercial Limited of a selection of buildings decreased their fair value by £15.4 million.

The movement in land and buildings values following the revaluation is written back through the reversal of accumulated depreciation charged since the previous valuation exercise.

University
Freehold land and buildings Leasehold land and buildings Equipment Assets in the Course of Construction Total
Cost / Valuation £m £m £m £m £m
At 1 August 2019 17.1 764.8 85.9 34.5 902.3
Additions at Cost 3.9 6.3 10.5 45.6 66.3
Disposals (2.9) (0.6) (1.0) - (4.5)
Revaluations - (39.4) - - (39.4)
Reclassifications 0.3 11.2 - (11.5) -
At 31 July 2020 18.4 742.3 95.4 68.6 924.7
Accumulated deprecation
At 1 August 2019 1.0 3.7 69.3 0.9 74.9
Charge in year 0.5 29.1 4.5 0.2 34.3
Disposals - (0.2) (0.9) - (1.1)
Revaluations - (24.0) - - (24.0)
Reclassifications - 1.1 - (1.1) -
At 31 July 2020 1.5 9.7 72.9 - 84.1
Net book value
At 31 July 2020 16.9 732.6 22.5 68.6 840.6
At 31 July 2019 16.1 761.1 16.6 33.6 827.4

Freehold and Leasehold Land and Buildings measured by valuation at 31 July 2020 includes the following historical cost:

Consolidated and University
2020 2019
£m £m
Freehold land and buildings 12.6 15.0
Leasehold land and buildings 509.7 505.2

Leasehold land and buildings includes land with a value of £85.8 million at 31 July 2018.

Equipment includes assets donated to us, these are valued at market value as at the date when they were received.

14. Non current asset investments

Consolidated and University
2020 2019
£m £m
At 1 August
Other investments 1.3 1.2
Acquisition of investments 0.3 0.1
Movement in market value (0.8) -
At 31 July 0.8 1.3

15. Trade and other receivables

Consolidated and University
2020 2019
£m £m
Prepayments and accrued income 4.2 5.2
Research grant receivables 9.5 10.1
Other receivables 13.0 9.7
26.7 25.0
Due within one year 26.3 24.5
Due in more than one year 0.4 0.5
26.7 25.0

Debtors due in more than one year are all Other receivables.

16. Current asset investments

Consolidated and University
Investments measured at Market Value Investments measured at Cost 2020 2019
Total Total
£m £m £m £m
At 1 August 127.9 86.6 214.5 204.9
New investments 68.4 38.0 106.4 92.3
Disposal of investments (61.3) (69.9) (131.2) (87.8)
Market value movement 1.4 - 1.4 5.1
At 31 July 136.4 54.7 191.1 214.5

Investments measured at market value includes Quoted investments of £89.4m (£115.9m) and those held in unit funds where a market value can be determined of £47.0m (£12.0m).

Investments measured at cost include those held in money market funds, certificates of deposit and fixed deposits.

Current Asset investments include £5.2m held in respect of Endowments as disclosed in note 22.

17. Creditors: amounts falling due within one year

Consolidated and University
2020 2019
£m £m
Bank loans 5.0 5.0
Trade Payables 19.7 20.2
Social Security and other taxation payable 3.1 6.9
Derivatives - 0.9
Finance lease obligations 0.2 0.4
Deferred income 71.7 36.7
99.7 70.1

Deferred income

Included in deferred income are the following items which have been deferred until specific performance related conditions are met.

Consolidated and University
2020 2019
£m £m
Donations 0.9 0.8
Research grants received on account 18.2 17.9
Grant income 42.0 4.8
Other income 10.6 13.2
71.7 36.7

18. Creditors: amounts falling due after more than one year

Consolidated and University
2020 2019
£m £m
Bank loans 234.5 239.5
Deferred income - 15.9
Derivatives 17.5 15.9
Finance lease obligations 1.9 1.9
253.9 273.2

Deferred income

Included in deferred income are the following items which have been deferred until specific performance related conditions are met.

Consolidated and University
2020 2019
£m £m
Grant income - 15.9
- 15.9

19. Borrowings

Consolidated and University
2020 2019
Analysis of Financing £m £m
Bank loans and overdrafts are repayable as follows:
In one year or less 5.0 5.0
Between one and two years 10.1 5.0
Between two and five years 15.1 20.1
In five years or more 209.3 214.4
239.5 244.5

20. Derivatives

The University is using hedge accounting for its interest rate swaps and foreign exchange options and as a result determined the effectiveness of the hedging arrangements. The analysis below shows the results of this assessment:

Consolidated and University
Hedging Instrument Expiry Date Amount Market Value at Market Value at Movement in market value Disposals in year Total Movement Movement in market value
2020 2019 2020 2020 2020 2019
£m £m £m £m £m £m
Interest rate swaps Between 2027 & 2037 £36.6m 17.5 15.9 1.6 - 1.6 2.3
Foreign exchange options In 2020 $39.1m (0.8) 1.0 (0.9) (0.8) (1.7) 1.1
16.7 16.9 0.7 (0.8) (0.1) 3.4

Interest rate swaps are hedging instruments associated with the University’s loan portfolio with Lloyds Bank plc and Barclays Bank plc.

Foreign Exchange options are hedging instruments associated with our current asset investments in USD denominated funds.

The movement in market value for 2019/20 is a loss of £0.7m (2018/19 loss of £3.4m) is reported as follows:

Consolidated and University
2020 2019
Interest Payable (note 11) 1.2 1.0
Other Comprehensive Income (0.5) 2.4
0.7 3.4
Consolidated and University
2020 2019
Disclosure of Derivatives as Liabilities
Liabilities due in less than one year (0.8) 0.9
Liabilities due in more than one year 17.5 15.9
16.7 16.8

21. Provisions

Consolidated and University
Obligations to fund deficit on USS Pension (note 26) Defined Benefit obligations LGPS (note 26) Total 2020 Total 2019
£m £m £m £m
At 1 August 76.5 71.3 147.8 68.6
Released in year (33.7) - (33.7) 50.7
Additions in year 1.5 4.5 6.0 4.8
Interest in year - 1.4 1.4 1.2
Actuarial loss in respect of pension - 22.3 22.3 22.5
At 31 July 44.3 99.5 143.8 147.8

Obligations to fund deficit on USS Pension

The obligation to fund the past deficit on our Superannuation Scheme (USS) arises from the contractual obligation with the pension scheme for total payments relating to benefits arising from past performance. Management have assessed future employees within the USS scheme and salary payments over the 15 year period of the contracted obligation in assessing the value of this provision and these are disclosed below:

2020 2019
Discount rate at year end 0.74% 1.91%
Pensionable salary growth: 1.5% for the first two years and 2.4% thereafter Between 2.4% and 3.7% in first 4 years and then 2.4% thereafter
USS membership growth: in the range (1.5) to 1% in the range 0% - 3.5%

Defined benefit obligations (LGPS)

As a multi-employer scheme where the share of assets and liabilities applicable to each employer can be defined, we have accounted for the scheme under FRS 102 as a defined benefit scheme based on a full actuarial valuation of the Fund as at 31 March 2019.

22. Endowments

Restricted net assets relating to endowments are as follows:

Consolidated and University
2020 2019
Restricted Permanent Expendable Total Total
£m £m £m £m
At 1 August
Capital 2.2 4.2 6.4 6.5
Accumulated Income 0.3 0.7 1.0 0.4
2.5 4.9 7.4 6.9
New endowments - - - 0.6
Investment and donation income - 0.2 0.2 0.4
Expenditure - (0.1) (0.1) (0.6)
Increase in market value of investments (0.2) (0.2) (0.4) 0.1
At 31 July 2.3 4.8 7.1 7.4
Representing:
Capital 2.1 4.0 6.1 6.4
Accumulated Income 0.2 0.8 1.0 1.0
2.3 4.8 7.1 7.4
Analysis by type of purpose
Lectureships 1.2 2.2 3.4 3.8
Scholarships and bursaries 1.0 2.1 3.1 3.0
Prize Funds 0.1 0.3 0.4 0.2
General - 0.2 0.2 0.4
2.3 4.8 7.1 7.4
Analysis by asset
Current and non-current asset investments 2.1 3.1 5.2 5.9
Cash and cash equivalents 0.2 1.7 1.9 1.5
2.3 4.8 7.1 7.4

23. Restricted reserves

Reserves with restrictions are as follows:

Consolidated and University
Other income Donations 2020 2019
Total Total
£m £m £m £m
At 1 August 0.5 1.6 2.1 2.1
New grants - - - 0.2
New donations - 0.5 0.5 0.5
Reclassification of reserves - - - (0.2)
Expenditure - (0.4) (0.4) (0.5)
At 31 July 0.5 1.7 2.2 2.1
Analysis by type of purpose
Research support 0.1 - 0.1 0.2
Scholarships and bursaries - 0.6 0.6 0.5
General 0.4 1.1 1.5 1.4
0.5 1.7 2.2 2.1

24. Contingent Liability

We have entered a number of nomination agreements with three organisations whereby we underwrite the shortfall in the letting of a number of student residences. At 31 July 2020 the maximum value of the underwriting is £17,017,320 (£4,650,702 July 2019), summarised below. We do not expect any liability to be incurred as a result of these contracts as we expect all residences will be fully let as per the nomination agreements.

Dates Residences Legal Entity with whom the agreement is held Maximum liability 31 July 2020 Maximum liability 31 July 2019
£m £m
24/09/2016 - 18/09/2021 “Hello Student” Empiric (Bath James House) Limited 2.2 4.7
14/09/2020 - 19/03/2021 Green Park House Bath Spa University 1.0 -
16/09/2021 - 15/09/2030 Acquilla Court Eagle One Acqua Sulis Limited and Acquilla MMXX Limited 13.8 -
Total 17.0 4.7

25. Lease obligations

The University had total operating lease commitments in respect of leased property as follows:

Consolidated and University
2020 2019
£m £m
Lease Commitments
Lease commitments due in more than one year but less than five years 5.0 5.1
Lease commitments due between two & five years 20.4 22.1
Lease commitments due in more than five years 28.9 33.8
Total Lease commitments 54.3 61.0

Operating leases are held for six properties used by us as student accommodation. As we do not control the significant residual value in these properties upon the expiry of the lease period they have not been accounted for as Service Concession Arrangements.

The lease arrangements for student accommodation expire between 2024 and 2032 and include six properties, the lease payments are reported in other operating expenses.

26. Pensions

Universities Superannuation Scheme

We participate in the Universities Superannuation Scheme (USS), a hybrid pension scheme, providing defined benefits (for all members), as well as defined contribution benefits. The assets of the scheme are held in a separate fund administered by the trustee, Universities Superannuation Scheme Limited. USS has over 202,000 members and we had 2,342 (2,339) active members at 31 July 2020.

Because of the mutual nature of the scheme, its assets are not attributed to individual Universities and a scheme-wide contribution rate is set, at the balance sheet date this was 21.1% (19.5%). We are exposed to actuarial risks associated with other Universities' employees and are unable to identify our share of the underlying assets and liabilities of the scheme on a consistent and reasonable basis, therefore, as required by FRS 102 (28), we account for the scheme as if it were a defined contribution scheme.

Since we have entered into an agreement (the Recovery Plan) that determines how each employer within the scheme will fund the overall deficit, we recognise a liability for the contributions payable that arise from the agreement (to the extent that they relate to the deficit) and therefore an expense is recognised.

The latest available complete actuarial valuation of the Retirement Income Builder is at 31 March 2018 (the valuation date), which was carried out using the projected unit method. The valuation as at 31 March 2020 is underway but not yet complete. The assumptions that have the most significant effect on the result of the valuation are those relating to the rate of return on investments (i.e. the valuation rate of interest), rates of increase in salary and pensions and the assumed rates of mortality.

The 2018 valuation was the fifth valuation for the scheme under the scheme-specific funding regime introduced by the Pensions Act 2004, which requires schemes to adopt a statutory funding objective, which is to have sufficient and appropriate assets to cover their technical provisions. At the valuation date, the value of the assets of the scheme was £63.7 billion and the value of the scheme’s technical provisions was £67.3 billion indicating a shortfall of £3.6 billion and a funding ratio of 95%.

The key financial assumptions used in the 2018 valuation are described below. More detail is set out in the Statement of Funding Principles.

Pension increases (CPI)

Term dependent rates in line with the difference between the Fixed Interest and Index Linked yield curves, less 1.3% p.a

Discount rate (forward rates)

  • Years 1-10: CPI +0.14% reducing linearly to CPI –0.73%
  • Years 11-20: CPI +2.52% reducing linearly to CPI +1.55% by year 21
  • Years 21+: CPI +1.55%

The main demographic assumption used relates to the mortality assumptions. These assumptions are based on analysis of the scheme’s experience carried out as part of the 2018 actuarial valuation. The mortality assumptions used in these figures are as follows:

Mortality base table
Pre-retirement 71% of AMC00 (duration 0) for males and 112% of AFC00 (duration 0) for females
Post-retirement 97.6% of SAPS S1NMA “light” for males and 102.7% of RFV00 for females
Future improvements to mortality CMI_2016 with a smoothing parameter of 8.5 and a long term improvement rate of 1.8% pa for males and 1.6% pa for females

The current life expectancies on retirement at age 65 are:

2020 2019
Males currently 65 yrs 24.4 24.6
Females currently 65 yrs 25.9 26.1
Males currently 45 yrs 26.3 26.6
Females currently 45 yrs 27.7 27.9

A new deficit recovery plan was put in place as part of the 2018 valuation, which requires payment of 2% of salaries over the period 1 October 2019 to 30 September 2021 at which point the rate will increase to 6%. The 2020 deficit recovery liability reflects this plan. The liability figures have been produced using the following assumptions:

2020 2019
Discount rate 2.59% 2.44%
Pensionable salary growth* 4.20% 2.11%

*Institutions should use their own discount rate and pensionable growth rate.

To illustrate how sensitive the funding level is to experience being different from assumed, the table below shows how the valuation results at 31 March 2017 would have differed given small changes in the key assumptions.

Assumption Change in Assumption Change in shortfall
Discount rate Increase by 0.1% Reduce by £1.2 billion
RPI/CPI Spread Increase by 0.1% Reduce by £0.7 billion
Life expectancy Higher than assumed* Increase by £1.6 billion
Asset values Fall by 10% Increase by £6.4 billion

*Assumes member life expectancy is consistent with someone one year younger than their current age (i.e. a 60 year old is observed to have the life expectancy of someone aged 59).

USS is a “last man standing” scheme so that in the event of the insolvency of any of the participating employers in USS, the amount of any pension funding shortfall (which cannot otherwise be recovered) in respect of that employer will be spread across the remaining participant employers and reflected in the next actuarial valuation of the scheme.

Local Government Pension Scheme

We participate in the Avon Pension Fund which is a funded defined benefit pension scheme with the assets held in separate trustee administered funds. The assumptions which have the most significant effect on the determination of contribution levels are as follows:

Return on investments 4.2%
Long-term Salary inflation 3.9%
Pension inflation 2.4%
Valuation date 31 March 2019
Valuation method Projected Unit
Market value of assets at date of last valuation £4,820 million
Market value of assets as a percentage of accrued benefits 95.0%

The contributions payable by us were equal to 15.10% of total pensionable salaries for the period to 31 March 2020 and 16.2% for the balance of the period to the end of the financial year.

As a multi-employer scheme where the share of assets and liabilities applicable to each employer can be defined, we have accounted for the scheme under FRS 102 as a defined benefit scheme based on a full actuarial valuation of the Fund as at 31 March 2019, updated to 31 July 2020 by a qualified independent actuary.

The material assumptions used by the actuary for FRS 102 at 31 July 2020 were:

At end of year 31 July 2020 31 July 2019
% %
Rate of CPI inflation 2.3 2.2
Rate of increase in salaries 3.8 3.7
Rate of increase in pensions 2.4 2.3
Discount rate 1.6 2.1
Post retirement mortality assumptions for members retiring in normal health 31 July 2020 31 July 2019
Non-retired members S2PA CMI2015[1.75%] 98% (male) S2PA CMI2015[1.75%] 94% (male)
Non-retired members S2PA CMI_2015[1.5%] 88% (female) S2PA CMI_2015[1.5%] 81% (female)
Retired members S2PA CMI2015[1.75%] 92% (male) S2PA CMI2015[1.75%] 93% (male)
Retired members S2PA CMI2015[1.5%] 87% (female) S2PA CMI2015[1.5%] 85% (female)
Life expectancy
Male/female future pensioner 65 in 20 years time 24.7/27.3 years 26.3/29 years
Male/female current pensioner aged 65 23.2 / 25.3 years 23.7/26.2 years

The sensitivities regarding the principal assumptions used to measure our share of the scheme liabilities as at the valuation on 31 July 2020 are set out below:

Assumption Change in Assumption Impact on scheme liabilities
Discount rate Increase by 0.1% Decrease by £4.0 million
Rate of CPI Inflation Increase by 0.1% Increase by £4.1 million
Rate of salary growth Increase by 0.1% Increase by £0.4 million
Members live longer 1 year longer Increase by £7.1 million
Our University’s share of the scheme’s assets and liabilities:
2020 2019
£m £m
Market value of assets 130.5 133.8
Present value of scheme liabilities (230.0) (205.1)
Net pension liability (99.5) (71.3)
Amounts charged to SOCI
Included in staff costs and operating expenses for the year (note 8) 2020 2019
£m £m
Current service cost 8.2 6.2
Past service cost 0.8 1.0
Administration expenses 0.1 0.1
Total operating charge 9.1 7.3
Analysis of amount charged to interest payable
2020 2019
£m £m
1.4 1.2
Net charge 1.4 1.2
Amounts recognised in the Statement of Comprehensive Income
2020 2019
£m £m
Change in assumptions underlying the present value
of the scheme assets (7.8) 5.1
of the scheme liabilities (14.5) (27.6)
Actuarial (loss) recognised in the SOCI (22.3) (22.5)
The movement in the scheme's deficit during the year is made up as follows:
2020 2019
£m £m
Deficit in scheme at 1 August 71.3 43.4
Movement in the year:
Current service and curtailment costs 8.2 6.3
Contributions by the employer (4.6) (3.2)
Past service cost 0.8 1.0
Administrative charge 0.1 0.1
Net interest charge 1.4 1.2
Net Movement in the year 5.9 5.4
Actuarial loss/(gain) 22.3 22.5
Deficit in scheme at 31 July 99.5 71.3
Analysis of the movement in the present value of the scheme liabilities:
2020 2019
£m £m
At the beginning of the year 205.1 168.6
Current service cost 8.2 6.2
Interest on pension liabilities 4.2 4.8
Member contributions 1.3 1.2
Past service cost 0.8 1.0
Actuarial losses on liabilities - other 14.5 27.6
Curtailments - 0.1
Benefits/transfers paid (4.1) (4.4)
At the end of the year 230.0 205.1
Analysis of the movement in the market value of the scheme assets:
2020 2019
£m £m
At the beginning of the year 133.8 125.2
Expected return on plan assets 2.8 3.6
Actuarial gains on assets (7.8) 5.1
Administrative expenses (0.1) (0.1)
Contributions by the employer 4.6 3.2
Contributions by scheme participants 1.3 1.2
Benefits/transfers paid (4.1) (4.4)
At the end of the year 130.5 133.8
Analysis of the scheme assets:
2020 2019
£m £m
Equities 57.7 62.6
Government bonds 9.4 -
Other bonds 3.5 14.6
Property 11.5 7.4
Cash/liquidity 3.9 1.6
Other 44.5 47.6
At the end of the year 130.5 133.8
Total pension costs (note 8)
2020 2019
£m £m
Universities Superannuation Scheme: employer only contributions 20.8 17.6
Universities Superannuation Scheme: provision movement (33.7) 50.7
(12.9) 68.3
Avon Pension Fund 9.0 7.3
Contributions to other pension schemes 0.1 0.1
Total pension costs (3.8) 75.7