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Post employment benefits (Tables)
 12 Months Ended
Jun. 30, 2024
Disclosure of defined benefit plans [abstract]  
Schedule of funding valuations of the significant defined benefit plans The most recent funding valuations of the significant defined benefit plans were carried out as follows:
Principal plans
Date of valuation
United Kingdom(1)
1 April 2021
Ireland(2)
31 December 2021
United States
1 January 2023
(1)The Diageo Pension Scheme (DPS, the UK Scheme) closed to new members in November 2005. Employees who joined Diageo in the United Kingdom between
November 2005 and January 2018, were eligible to become members of the Diageo Lifestyle Plan (a cash balance defined benefit plan) which was merged into the
DPS in July 2023.Since January 2018, new employees have been eligible to become members of a master trust defined contribution plan. The latest valuation as at
1 April 2024 is currently underway and will be finalised during the course of the next financial year. 
(2) The Guinness Ireland Group Pension Scheme (GIGPS, the Irish scheme) closed to new members in May 2013. Employees who have joined Diageo in Ireland since
the defined benefit scheme closed have been eligible to become members of a master trust defined contribution plan.
Schedule of amounts charged to consolidated income statement for group's defined benefit post employment plans and consolidated statement of comprehensive income The amounts charged to the consolidated income statement and statement of comprehensive income for the group’s defined benefit
plans for the three years ended 30 June 2024 are as follows:
 
2024
$ million
2023
re-presented
$ million
2022
re-presented
$ million
Current service cost and administrative expenses
(82)
(91)
(142)
Past service gains/(losses) – ordinary activities
3
(1)
46
Gains on curtailments and settlements
—
2
44
Charge to operating profit
(79)
(90)
(52)
Net finance income in respect of post-employment plans
37
53
13
Charge before taxation(1)
(42)
(37)
(39)
Actual returns less amounts included in finance income
(168)
(1,722)
(1,904)
Experience gains/(losses)
24
(273)
(46)
Changes in financial assumptions
20
1,150
2,837
Changes in demographic assumptions
43
65
(53)
Other comprehensive (loss)/income
(81)
(780)
834
Changes in the surplus restriction
5
9
(15)
Total other comprehensive (loss)/income
(76)
(771)
819
(i) The year ended 30 June 2022 includes settlement gains of $36 million in respect of the Enhanced Transfer Values (ETV) exercise carried out in the Irish Schemes
and past service gains of $37 million as a result of the changes of the benefits in the Irish Scheme.
1) The (charge)/income before taxation is in respect of the following countries:
Schedule of charge before taxation The (charge)/income before taxation is in respect of the following countries:
2024
$ million
2023
re-presented
$ million
2022
re-presented
$ million
United Kingdom
5
19
(37)
Ireland
3
1
61
United States
(35)
(38)
(42)
Other
(15)
(19)
(21)
(42)
(37)
(39)
Schedule of movement in net deficit The movements in the plan assets and liabilities for the two years ended 30 June 2024 are set out below:
 
Plan
assets
$ million
Plan
liabilities
$ million
Net
surplus
$ million
At 30 June 2022 (re-presented)
10,163
(8,753)
1,410
Exchange differences
267
(238)
29
Disposals
—
5
5
Income/(charge) before taxation
357
(394)
(37)
Other comprehensive (loss)/income(1)
(1,722)
942
(780)
Contributions by the group
121
—
121
Employee contributions
5
(5)
—
Benefits paid
(567)
567
—
At 30 June 2023 (re-presented)
8,624
(7,876)
748
Exchange differences
(5)
4
(1)
Income/(charge) before taxation
383
(425)
(42)
Other comprehensive (loss)/income(1)
(168)
87
(81)
Contributions by the group
97
—
97
Settlements
(43)
43
—
Employee contributions
2
(2)
—
Benefits paid
(473)
473
—
At 30 June 2024
8,417
(7,696)
721
(1)  Excludes surplus restriction.
Schedule of plan assets and liabilities by type of post employment benefit and country The plan assets and liabilities by type of post-employment benefit and country are as follows:
 
2024
2023 (re-presented)
 
Plan
assets
$ million
Plan
liabilities
$ million
Plan
assets
$ million
Plan
liabilities
$ million
Pensions
United Kingdom
5,654
(5,028)
5,771
(5,094)
Ireland
1,954
(1,595)
1,999
(1,650)
United States
569
(534)
555
(516)
Other
216
(241)
227
(244)
Post-employment medical
3
(266)
3
(288)
Other post-employment
21
(32)
69
(84)
8,417
(7,696)
8,624
(7,876)
Schedule of balance sheet analysis of post employment plans The balance sheet analysis of the post-employment plans is as follows:
 
2024
2023 (re-presented)
 
Non-
current
assets(1)
$ million
Non-
current
liabilities
$ million
Non-
current
assets(1)
$ million
Non-
current
liabilities
$ million
Funded plans
1,146
(152)
1,210
(167)
Unfunded plans
—
(277)
—
(304)
1,146
(429)
1,210
(471)
(1)  Includes surplus restriction of $4 million (2023 – $9 million).
Schedule of weighted average assumptions used to determine group's deficit/surplus in main post employment plans The following weighted average assumptions were used to determine the group’s deficit/surplus in the main post-employment
plans at 30 June in the relevant year. The assumptions used to calculate the charge/credit in the consolidated income statement for the
year ending 30 June are based on the assumptions disclosed as at the previous 30 June.
 
United Kingdom
Ireland
United States(1)
 
2024%
2023%
2022%
2024%
2023%
2022%
2024%
2023%
2022%
Rate of general increase in salaries(2)
3.6
3.7
3.6
3.7
3.9
3.8
—
—
—
Rate of increase to pensions in payment
2.8
2.9
2.9
2.2
2.3
2.2
—
—
—
Rate of increase to deferred pensions
2.6
2.7
2.6
2.2
2.4
2.3
—
—
—
Discount rate for plan liabilities
5.1
5.2
3.8
3.6
3.6
3.2
5.3
4.9
4.4
Inflation – CPI
2.6
2.7
2.6
2.3
2.5
2.4
2.3
2.2
2.3
Inflation – RPI
3.1
3.2
3.1
—
—
—
—
—
—
(1) The salary increase assumption in the United States is not a significant assumption as only a minimal amount of members’ pension entitlement is dependent on a
member’s projected final salary.
(2)  The salary increase assumptions include an allowance for age-related promotional salary increases.
Schedule of expected age at death of an average worker who retires currently at age of 65, and one who is currently aged 45 and subsequently retires at the age of 65 For the principal UK and Irish pension funds, the table below illustrates the expected age at death of an average worker who retires
currently at the age of 65, and one who is currently aged 45 and subsequently retires at the age of 65:
 
United Kingdom(1)
Ireland(2)
United States
 
2024
Age
2023
Age
2022
Age
2024
Age
2023
Age
2022
Age
2024
Age
2023
Age
2022
Age
Retiring currently at age 65
Male
86.8
86.8
87.1
87.2
87.2
87.7
85.7
85.6
85.5
Female
88.4
88.4
88.7
89.7
89.6
90.0
87.4
87.2
87.2
Currently aged 45, retiring at age 65
Male
88.1
88.1
88.5
88.8
88.8
89.3
87.2
87.1
87.0
Female
90.5
90.4
90.7
91.4
91.3
91.7
88.9
88.7
88.6
(1) Based on the CMI’s S3 mortality tables with scaling factors based on the experience of the plan and where people live, with suitable future improvements.
(2) Based on the CMI's S3 mortality tables with scaling factors based on the experience of the plan, with suitable future improvements.
Schedule of sensitivity analyses of potential impacts on consolidated income statement and on plan liabilities For the significant assumptions, the following sensitivity analysis estimates the potential impacts on the consolidated income
statement for the year ending 30 June 2025 and on the plan liabilities at 30 June 2024:
 
United Kingdom
Ireland
United States
Benefit/(cost)
Operating
profit
$ million
Profit after
taxation
$ million
Plan
liabilities(1)
$ million
Operating
profit
$ million
Profit after
taxation
$ million
Plan
liabilities(1)
$ million
Operating
profit
$ million
Profit after
taxation
$ million
Plan
liabilities(1)
$ million
Effect of 0.5% increase in discount rate
2
16
307
1
6
101
2
2
27
Effect of 0.5% decrease in discount rate
(2)
(16)
(339)
(1)
(5)
(112)
(2)
(2)
(30)
Effect of 0.5% increase in inflation
(2)
(9)
(201)
—
(2)
(62)
(1)
(1)
(10)
Effect of 0.5% decrease in inflation
2
9
200
—
3
73
1
1
9
Effect of one year increase in life
expectancy
—
(6)
(162)
—
(2)
(67)
—
(1)
(17)
 
(1) The estimated effect on the liabilities excludes the impact of any interest rate and inflation swaps held by the pension plans.
(i)The sensitivity analyses above have been determined based on reasonably possible changes of the respective assumptions and may not be representative of the
actual change. Each sensitivity is calculated on a change in the key assumption while holding all other assumptions constant. The sensitivity to inflation includes the
impact on all inflation linked assumptions (e.g. pension increases and salary increases where appropriate).
Schedule of analysis of fair value of plan assets An analysis of the fair value of the plan assets is as follows:
2024
United Kingdom
$ million
Ireland
$ million
United States and
other
$ million
Total
$ million
Quoted
Unquoted
Quoted
Unquoted
Quoted
Unquoted
Quoted
Unquoted
Total
Equities
1
1,121
—
330
80
129
81
1,580
1,661
Bonds
Fixed-interest government
943
25
—
60
62
10
1,005
95
1,100
Inflation-linked
government
2,112
495
—
111
—
2
2,112
608
2,720
Investment grade
corporate
—
503
—
623
21
311
21
1,437
1,458
Non-investment grade
4
448
5
346
—
146
9
940
949
Loan securities
—
421
—
107
—
—
—
528
528
Liability Driven
Investment (LDI)
—
—
—
124
—
—
—
124
124
Property - unquoted
—
551
—
54
—
1
—
606
606
Hedge funds
—
—
—
—
—
6
—
6
6
Interest rate and inflation
swaps
—
(1,126)
36
65
—
—
36
(1,061)
(1,025)
Cash and other
20
136
28
65
—
41
48
242
290
Total bid value of assets
3,080
2,574
69
1,885
163
646
3,312
5,105
8,417
2023 (re-presented)
United Kingdom
$ million
Ireland
$ million
United States and
other
$ million
Total
$ million
Quoted
Unquoted
Quoted
Unquoted
Quoted
Unquoted
Quoted
Unquoted
Total
Equities
15
1,155
—
365
81
125
96
1,645
1,741
Bonds
Fixed-interest government
739
189
—
8
60
10
799
207
1,006
Inflation-linked
government
1,286
1,393
—
121
2
2
1,288
1,516
2,804
Investment grade
corporate
—
37
—
413
26
285
26
735
761
Non-investment grade
27
364
7
234
2
168
36
766
802
Loan securities
17
664
—
106
—
—
17
770
787
Liability Driven
Investment (LDI)
—
—
—
102
—
—
—
102
102
Property - unquoted
36
582
—
79
—
1
36
662
698
Hedge funds
—
—
—
15
—
6
—
21
21
Interest rate and inflation
swaps
—
(1,224)
129
(22)
—
—
129
(1,246)
(1,117)
Cash and other
128
363
6
436
—
86
134
885
1,019
Total bid value of assets
2,248
3,523
142
1,857
171
683
2,561
6,063
8,624
(i)The analyses of the fair value of plan assets has been amended to reflect the underlying asset categories of repurchase agreements. The presentation of fair value of
the plan assets for the year ended 30 June 2023 has been aligned with the presentation provided for the year ended 30 June 2024.
(ii)The asset classes include some cash holdings that are temporary. This cash is likely to be invested imminently and so has been included in the asset class where it is
anticipated to be invested in the long-term.
(iii)For the year ended 30 June 2024 the analyses of asset categories above includes $1,626 million (2023 - $2,213 million) in the United Kingdom, $1,060 million
(2023 - $1,065 million) in Ireland and $572 million (2023 - $558 million) in the United States held in unquoted pooled investment vehicles.
Disclosure of maximum conditional contributions
Valuation date
31 December 2024
31 December 2027
31 December 2030
€ million
$ million
€ million
$ million
€ million
$ million
Maximum conditional contribution
35
33
39
36
39
36
Schedule of timing of benefit payments The following table provides information on the timing of the benefit payments and the average duration of the defined benefit
obligations and the distribution of the timing of benefit payments:
 
United Kingdom
Ireland
United States
 
2024
$ million
2023
re-presented
$ million
2024
$ million
2023
re-presented
$ million
2024
$ million
2023
re-presented
$ million
Maturity analysis of benefits expected to be paid
Within one year
311
382
88
92
64
72
Between 1 to 5 years
1,225
1,373
441
462
216
219
Between 6 to 15 years
3,123
3,073
870
916
456
417
Between 16 to 25 years
2,948
2,827
748
813
297
260
Beyond 25 years
3,378
3,357
816
941
230
236
Total
10,985
11,012
2,963
3,224
1,263
1,204
years
years
years
years
years
years
Average duration of the defined benefit obligation
14
14
14
14
9
9