Royal London completes £16m buy-in for Premdor Crosby Pension Plan

Royal London, a mutual provider of life, pensions, and investment solutions, has finalised a £16 million bulk purchase annuity (BPA) arrangement with the Premdor Crosby Pension Plan.

This transaction, which secures benefits for 181 members, is the first for Royal London with BESTrustees acting as Chair of Trustees and the first involving WTW on a scheme outside their own staff pension arrangements. It also represents the first use of Royal London’s deferred premium option, with part of the premium deferred until 2026.

The Trustees received guidance from WTW and Pinsent Masons through a sole insurer quotation process, while Royal London was advised by Hogan Lovells.

In 2025, Royal London has completed 12 BPA transactions with external pension schemes, covering roughly 6,500 members and around £815 million in premiums. Transaction sizes have ranged from this £16 million buy-in to a £275 million arrangement with the Grant Thornton Pensions Fund.

Victoria Smith, BPA Origination Manager at Royal London, commented: “The Royal London team are excited to announce this transaction with the Premdor Crosby Pension Plan. We’ve been working in close collaboration with the Trustees and their advisers in recent months to design and implement a tailored solution, which includes our first use of a deferred premium structure.

“We’re looking forward to impressing the trustees and their members with our mutual-led delivery over the decades ahead.”

Rachel Tranter, of BESTrustees, said: “It has been an absolute pleasure to have led the Trustees through this transaction. From the initial contact with Royal London and all through the process, the Royal London team have been excellent to deal with – responsive, accessible, pragmatic and innovative in their approach to helping the Trustees get the deal over the line. The Trustees’ adviser team worked extremely well together to ensure a smooth transaction. I look forward to the next phase which has got off to a good start.”

Tom Ashworth, Risk Transfer Director at WTW, added: “We’re delighted to have advised the Trustees on this transaction. The scheme’s success was driven by strong collaboration and clear communication across all parties. A key feature of the transaction was the tailored deferred premium structure. Royal London agreeing such an approach for a smaller pension scheme is especially valuable as it enabled early execution whilst preserving liquidity and delivering certainty for both Trustees and members.”