The RAC (2003) Pension Scheme has completed a £1.3bn bulk purchase annuity full buy-in with Aviva. The deal, which included a novation of the scheme’s existing longevity swap and the transfer of illiquid assets. was completed in August this year, secures the pension benefits for all the scheme’s approximately 19,000 members.
“We are delighted to have completed this complex transaction covering all the benefits due to members of the RAC (2003) Pension Scheme, providing them with the additional security of a full scheme buy-in. The Trustee is grateful for the hard work of its advisors and in-house team in getting this transaction over the line,” said Brian Bussell, Chair of Aviva Staff Pension Trustee Ltd.
“At Aviva, we pride ourselves on reaching successful outcomes for schemes, so we’re really pleased to have secured benefits for RAC scheme members. This transaction was complex and required the expertise and commitment of all parties,” added Andy Morley, Senior Deal Manager at Aviva.
The scheme trustees were advised by Hymans Robertson and legal advice was provided by Linklaters.
“We’re delighted to have advised on this transaction to secure benefits for members. Transactions of this size inevitably have a number of complexities and we’re delighted to have applied our longevity swap conversion and £1bn+ transaction expertise to work closely with all parties to smoothly reach this full scheme buy-in,” said Iain Pearce, Partner at Hymans Robertson.
