Company: WEBNF
Filing Date: 2025-11-04
Form Type: 20-F
Source: 0001104659-25-105894
Chunk: 140

Company: WESTPAC BANKING CORP
Filing Date: 2025-11-04
Form: 20-F
Item: Item 14
Chunk 140
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’ assets. The defined benefit obligation is calculated as the present value of the estimated future cash flows, discounted using high-quality long dated corporate bond rates.
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The superannuation expense is recognised in operating expenses and remeasurements are recognised through OCI.                                                                                                                                                                                                                               
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Westpac had the following defined benefit plans at 30 September 2025:

                                ​                                   ​                  ​                   ​                ​                 ​                    ​                     ​
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​                                                                   ​   ​                                  ​   ​                              ​   Date of last actuarial assessment of   ​
Name of plan                                                            Type                                   Form of benefit                    the funding status                     ​
Westpac Group Plan (WGP)                                                Defined benefit and accumulation       Indexed pension and lump sum       30 June 2023                           ​
Westpac New Zealand Superannuation Scheme (WNZS)                        Defined benefit and accumulation       Indexed pension and lump sum       30 June 2023                           ​
Westpac Banking Corporation UK Staff Superannuation Scheme (UKSS)   ​   Defined benefit                    ​   Indexed pension and lump sum   ​   5 April 2024                           ​
Westpac UK Medical Benefits Scheme                                      Defined benefit                        Medical benefits                   n/a                                    ​
​
The defined benefit sections of the schemes are closed to new members. Westpac has no obligation beyond the annual contributions for the accumulation or defined contribution sections of the schemes.
The WGP is Westpac’s principal defined benefit plan and is managed and administered in accordance with the terms of its trust deed and relevant legislation in Australia. Its defined benefit liabilities are based on salary and length of membership for active members and inflation in the case of pensioners.
The defined benefit schemes expose Westpac to the following risks:

●   Discount rate – reductions in the discount rate would increase the present value of the future payments;
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●   Inflation rate – increases in the inflation rate would increase the payments to pensioners;
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●   Investment risk – lower investment returns would increase the contributions needed to offset the shortfall;
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●   Mortality risk – members may live longer than expected extending the cash flows payable by Westpac;
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●   Behavioural risk – higher proportion of members taking some of their benefits as a pension rather than a lump sum would increase the cash flows payable by Westpac; and
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●   Legislative risk – legislative changes could be made which increase the cost of providing defined benefits.
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Investment risk is managed