For the fifth year in a row, the number of company pension schemes signed up to Sweden's mutual FPG/AMFK insolvency insurance scheme has dropped.

In 1997, only 615 policyholders were insured under scheme the which pledges to take over the pension liabilities of insolvent companies. This number is down from 673 in 1996, having now fallen by more than a third in the last five years.

In its annual report, the organisation noted that larger companies in particular were becoming more interested in using pension funds to secure pensions liabilities. At the moment many Swedish companies fund pension benefits from reserves, the report pointed out.