Rothesay Secures £5.2 Billion in Pension Insurance Business in 2025
Rothesay, a specialist in pension insurance, reported securing £5.2 billion in new business in 2025 through 17 bulk annuity transactions. This marks a significant decrease compared to the £15.7 billion recorded in 2024, wherein two sizable deals with the NatWest Group Pension Fund contributed approximately £11 billion. Key transactions in 2025 included a £900 million buy-in with the National Grid UK Pension Scheme, a £120 million agreement with AQA Education, and a £105 million arrangement with Skipton Building Society. Additionally, Rothesay initiated a deferred bulk annuity service contract with the master trust Nest, enhancing its defined contribution scheme offerings.
The company announced total or exclusive deals amounting to approximately £2 billion since the beginning of 2026. Tom Pearce, CEO of Rothesay, expressed that the firm made substantial progress in managing asset investments over recent years. He highlighted their leading risk management capabilities and strong capital resources, underscoring Rothesay's readiness for future expansion. The bulk annuity market remains competitive, with high demand from pension schemes generating robust business opportunities. Rothesay aims to partake in significant, innovative market transactions while maintaining competitive pricing and prudent risk management.
Athora Group's Strategic Acquisition
In related news, Athora Group, based in Europe, completed its acquisition of Pension Insurance Corporation (PIC). The acquisition, first disclosed last year, will see Athora relocate its headquarters from Bermuda to London, pending regulatory approval. Athora now oversees €139 billion in assets, serving 3.1 million policyholders across various European regions. Mike Wells, Athora's Group CEO, stated that PIC's integration positions Athora to address the growing UK pension risk transfer market. Dom Veney, PIC’s interim CEO, noted the acquisition marks the beginning of an exciting phase for PIC, highlighting the ability to invest more in the UK economy while maintaining high customer service standards.
Just Group's Recent Buy-In Deal
Further developments in the bulk annuity arena include Just Group's £32 million buy-in with the Reebok UK Retirement Benefits Scheme, finalized in November. This transaction secured benefits for 114 pensioners and 338 deferred members. Overseeing trustee Martin O’Brien acknowledged the collaborative efforts involved in completing the buy-in efficiently. Mercer provided risk transfer advisory services, and legal support was offered by Eversheds Sutherland. Nichola Price of Mercer emphasized the vibrant nature of the risk transfer market, fostering broader trustee and sponsor options and improved pricing that benefit scheme members.
As the bulk annuity market evolves, industry stakeholders continue to track new deals and trends driving pension insurance advancements. The integration of regulatory compliance requirements and risk management strategies remains pivotal in shaping the future of pension insurance solutions, ensuring market sustainability and growth.