UK water services firm, United Utilities has struck a $2.3bn bulk purchase annuity deal (BPA) with insurer Legal & General.
In a press release announcing the move the utility provider said that it had transferred roughly two thirds of its pension obligations which will now be administered and paid by Legal & General.
United Utilities’ press release did not specify the exact number of pension scheme members being transferred to Legal & General but the firm closed its plan to new members in 2006 and subsequently offered a mixture of defined contributions and hybrid plans to its employees.
Legal & General has struck a number of deals both domestically and internationally, including its US arm’s last month’s $300 pension risk transfer(RGA) in conjunction with RGA.
The UK insurer has also made its first foray into the Dutch PRT market via a March 2023 tie-up with fellow insurer Lifetri to co-finance future buyout deals.
