Royal London announces BPA transaction with Premdor Crosby Pension Plan
Royal London, the UK’s largest mutual life, pensions and investment provider, has completed a £16 million bulk purchase annuity (BPA) transaction with the Premdor Crosby Pension Plan.
This buy-in, which covers 181 members, is the first that Royal London has completed with BESTrustees as Chair of Trustees, and also with WTW on a scheme that is not one of their own staff pension arrangements. This buy-in also marks the first time that Royal London has used its deferred premium solution, with part of the premium deferred until 2026.
The Trustees were advised by WTW and Pinsent Masons under a sole insurer quote process. Royal London was advised by Hogan Lovells.
Rachel Tranter, of BESTrustees
From the initial contact with Royal London and all through the process, their team have been excellent to deal with – responsive, accessible, pragmatic and innovative in their approach. The key difference is that we felt like a client, not a commodity, and that’s become rare in this market.
They took the time to understand what was important to us and then helped us develop solutions to meet our needs: it made them feel like part of our team.
We’re delighted to have advised the Trustees on this transaction. The scheme’s success was driven by strong collaboration and clear communication across all parties. A key feature of the transaction was the tailored deferred premium structure. Royal London agreeing such an approach for a smaller pension scheme is especially valuable as it enabled early execution whilst preserving liquidity and delivering certainty for both Trustees and members.
Tom Ashworth, Risk Transfer Director at WTW
