United Kingdom: Pensions and Investment News and Analysis
Latest news and analysis of pensions, asset management, regulation and trends in the United Kingdom from our award-winning journalists.
Brunel Pension Partnership achieves 75.4% reduction in reserves intensity
The investment pool will work closely with S&P to help with scenario analysis for physical climate risk
Net zero alignment commitments shoot up for UK pension funds
The percentage of UK pension funds with net zero commitments increased from 57% last May to 68% this year
Trustees expect more from new bulk annuity market entrants
Trustees now assess insurers on financial strength, ESG factors, administration capacity and quality, buyout capabilities, and brand awareness
Country Report – Pensions in UK (May 2023)
UK pensions are at a crucial juncture. The UK Parliament’s inquiry into the LDI crisis of September 2022 shed some light on its causes, but the debate on the role of LDI is alive and well. Meanwhile, regulators including The Pensions Regulator and the Financial Conduct Authority have advised pension schemes on how to make LDI strategies more resilient to shocks.
Trustees considering capital backed journey plan urged to engage with regulator
The Pensions Regulator set out expectations for trustees considering capital backed journey plan
Smart Pension to provide pension to 62,000 ISS UK employees
Appointment represents £200m in assets under management moving to Smart Pension
Boots pension scheme completes largest single transaction with L&G
The deal secures benefits of all 53,000 retirees and deferred members of the scheme
Co-op pension fund insures remaining £4bn of liabilities
The transaction secures benefits for almost 50,000 members
SEI completes acquisition of National Pension Trust
The deal, which had a total cash value of £42.5m, follows recent expectations of an accelerated consolidation of the master trust market
UK’s Autumn Statement proposals encourage DB schemes to run on
Chancellor announces consultation on changes to rules around DB scheme surpluses and tax rate reduction on surplus extraction
UK’s pension regulator to enhance approach to master trusts
DWP analysis shows trust market could grow from around £140bn in 2023 to £420bn in 2030
DWP consultation finds trustees could benefit from more support
A key barrier to achieving better long-term outcomes for pension savers is a ‘damaging and continual focus on cost and minimising all risks’
Mixed views on UK government plans to consolidate DB schemes into PPF
PPF a ‘clear choice’ for public sector consolidator, but concerns remain over the time it would take to make it operational
UK pensions industry hesitant about ‘pot for life’ proposals
Pension providers will inevitably seek to ‘cherry pick’ high earners, while ordinary savers get left behind, says LCP
Chancellor updates on Mansion House reforms, announces further consultations
The government will consult on opening PPF as an investment vehicle for smaller DB schemes
Industry cautiously welcomes British Business Bank investment initiative
‘Pension schemes must be given time to plan a considered and effective move into private assets,’ says Aegon
Fiduciary managers’ mandates fall for the first time, says Isio
Isio’s Paula Champion expects fiduciary managers to look for other pools of assets as the ‘DB world is declining’
BT Pension Scheme hires new trustee chair
As Jill Mackenzie takes on her new role, Andrew Clare has also been appointed to the BTPS trustee board
British Business Bank to establish an investment vehicle for pension funds
This will open British Business Bank commercial capability and investment pipeline to pension fund investment
UK asset owner group publishes manager voting (mis)alignment review
Discussions have taken place between UK asset owners and asset managers about next steps
Financial return not the only benefit of illiquid investing, report finds
PLSA published a series of case studies to show how pensions schemes invest in illiquid assets
Railpen merges investment with fiduciary function creating one-stop-shop
As part of the move, Mads Gosvig took on the role of chief officer of fiduciary and investment management
ACCESS Pool selects PIRC as ESG and responsible investment advisor
PIRC was appointed to help ACCESS Pool implement its phase II of responsible investment guidelines.
UK pensions industry expects reform updates following disappointing King’s speech
The chancellor should be ‘bold and creative’ about long-term policy, says Hymans Robertson
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