A large gap between assets and liabilities in Diageo's pension scheme will not force it into switching assets from stocks to bonds, while markets are depressed.

Diageo revealed a £1.2 billion deficit for its UK members in its half-yearly results. It has said that it will eventually switch some of its assets out of stocks.

However, talking to Reuters, Paul Charles, Diageo's UK pensions administrator said: "The volatility (of assets) can be controlled by investment changes which we intend to do when the time is right."

There were no immediate plans, he said to make a shift to bonds.

"We say that strategy is still appropriate. There will come a time, however, when we will rebalance that portfolio, but we would be locking in losses if we acted while the (stock) market is low," he said.