One of the UK’s biggest local authority pension schemes has had its liabilities slashed to the extent that it is now almost fully funded, thanks to announcements in last week’s Budget that changed the amount it has to pay its members.

The £4bn (€4.8bn) London Pension Funds Authority has seen its liabilities fall by 10%, after the Chancellor of the Exchequer George Osborne announced that members in schemes under the Local Government Pension Schemes banner would have their retirement benefit increases linked to the Consumer Price Index, rather than the higher Retail Price Index.