The latest headlines from the bulk annuities sector, including a £1m micro-scheme buy-in for Legal & General and a listed services company’s plan to insure two DB schemes.
Professional services company Christie Group has closed its two defined benefit (DB) pension schemes and is targeting the bulk annuity market, it announced earlier this month.
The company, which is listed on the AIM market, said all remaining active members of The Venners plc Retirement Benefits Scheme and The Christie Group Pension and Assurance Scheme will now accrue pension benefits through a defined contribution arrangement. Both schemes were closed to new entrants in 1999 and 2000, respectively.
Christie Group said the schemes were “expected to remain in a fully funded position, with a significant funding surplus”. The company’s latest annual report, to the end of 2024, showed the schemes to have £65.3m in assets between them, against liabilities worth £50.6m.
In a statement, the company said it would “work collaboratively with the trustees with the shared objective of securing a full buy-in of both schemes, as a prelude to then achieving a full buyout”.
Dan Prickett, Christie Group chief executive officer, said the move was “part of our strategy to build a stronger, liability-light balance sheet, better equipped to support our strategic growth ambitions in the coming years”. He thanked the trustees and scheme members for “positive engagement and constructive dialogue throughout the consultation process”.
Engineering firm seals £1m buy-in
Construction and engineering firm Graham Asset Management has insured its DB scheme for £1m with Legal & General (L&G).
The transaction was secured using Isio’s PenUltimate Micro framework, designed to help schemes with fewer than 100 members access the bulk annuity market. It also used a “price lock” facility linking the buy-in to the scheme’s assets, which were managed by L&G.
Alistair McDonald, a member of the trustee board, said: “We are delighted to have completed the buy-in transaction for the scheme. It is a significant de-risking step for the scheme and its members. Use of Isio’s streamlined service and advice from our advisers enabled the trustees to react quickly to favourable market conditions and secure improved long-term security for members’ benefits.”
Osborne Clarke provided legal advice to the trustee board. David Hosford, partner at the law firm, said the deal’s “rapid timescale” was “a testament to good governance, thorough preparation and a ‘can-do’ attitude”. Isio was tasked with bringing the scheme to the bulk annuity market in November 2025.
