Eleven years now the norm for recovery periods

The finding comes from a study of 98 recent defined benefit pension scheme valuations of which 91 per cent were in deficit.

Of these over half (57 per cent) have a higher deficit than at their previous valuation, despite increasing deficit repayment contributions at that time. In total 43 per cent increased their recovery plan length.

Jeremy May, pensions partner at PwC, said longer recover periods were preferable to paying off pension debt. "Even if sponsors have access to cash, they are often choosing to reserve it to reinvest in their business and promote growth and covenant enhancements, rather than have it tied up in the pension scheme,” he said.

“Some commentators are calling for gilt yields to be smoothed to help alleviate the current pressure on cash as a result of increased deficits, (but) smoothing can mask the true position and produce unintended results,” he added.