Pensions: 11 million members and 80 billion in government bonds – this is how pension funds are growing in Italia

Almost 11 million members and €273.2 billion in reserves. The Italian supplementary pension scheme, the pension funds that supplement the state pension, continues to grow: by mid-2026, the funds allocated to benefits had risen by 4.3 per cent compared with the end of 2025. However, this growth does not ease the burden on the public system. At the start of 2025, state pensions cost 364.1 billion and their share of GDP increased by one percentage point, the sharpest rise among the eleven European countries compared in the report presented in Rome by Deloitte and Mefop, featuring the main Italian funds.

In Italia, fund assets account for 11.6 per cent of GDP; in the United Kingdom, 63.8 per cent; and in the Netherlands, 92.3 per cent. The key difference lies in how people join: where membership has long been automatic or compulsory, participation becomes widespread, whilst Italia remains in the group with low take-up alongside Germany, France and Spain. The use of these resources also plays a significant role. Italian funds hold around 80 billion in government bonds, accounting for 38.5 per cent of assets – the highest proportion in the sample. Such a strong presence of medium- to long-term debt, the report notes, would be compatible with an increase in investment in alternative funds dedicated to projects of public interest, offering returns comparable to those of bonds.

A new unknown now hangs over the future of the system. The president of INPS, Gabriele Fava, points to artificial intelligence as the source: a revolution set to bring about profound changes to the world of work. “Just think of when we’ll have our digital twins,” warns Fava. The time to act, he argues, is now, whilst the social security accounts remain sustainable. Another key issue is how to return to the welfare system the value generated by machines, calling on companies that derive profits from AI to contribute as well. This, he points out, is a decision for the legislator. His concrete proposal focuses on the younger generation. “The welfare system of the future is decided today, and it is decided with young people. We need new tools,” says Fava, who proposes “a savings account for every newborn, with an initial deposit of 1,000 euros”. The state would pay the sum at birth, after which the family and grandparents could add to it. The INPS, he explains, could administer the savings scheme, ensuring its traceability and security, but would not manage it directly: a dedicated investment vehicle would be responsible for investing in the markets. This proposal is reportedly under consideration for the forthcoming Budget Bill.