Legal & General had a successful first half of the year with over £6.6bn of global bulk annuity transactions between January and the end of June 2019, out of a publicly announced total market transaction level of £14bn. This compares to a 2018 global total of £735m for H1, £9.14bn for Full Year.
8 Aug 2019
The H1 total for UK bulk annuity transactions was £6.3bn. In June, Legal & General agreed the UK’s largest bulk annuity transaction with a partial buyout in excess of £4.6bn with the Rolls-Royce UK Pension Fund. This follows the UK’s previous record-breaking bulk annuity transaction in September 2018, where Legal & General transacted a £4.4bn deal with the British Airways APS pension scheme.
Alongside billion-pound deals, Legal & General also continued to operate as a ‘whole of market’ provider and transacted a number of smaller deals in the first half of the year. It has completed 11 transactions under £100m this year, to 30 June 2019.
The market outlook is for UK bulk annuity volumes to exceed £30bn pounds for the first time and Legal & General expect to see the dynamic moving away from buy-ins to buyouts.
Laura Mason, CEO, Legal & General Retirement Institutional: "The bulk annuity market continues to show promising growth and we look forward to further delivering for our customers in the second half of the year, helping trustees secure their members’ pensions and companies to reduce their pensions risk, whilst ensuring that the long-term benefits promised to pension scheme members are fulfilled."