Legal & General announces £385 million buy-in transaction with the Northern Gas Networks Pension Scheme
Legal & General Assurance Society Limited (“Legal & General”) today announces that it has agreed a £385 million buy-in transaction with the Northern Gas Networks Pension Scheme (“the Scheme”), securing the pension benefits of more than 600 retirees.
Northern Gas Networks (NGN) is the gas distributor for the North of England, transporting gas to 2.7 million homes and businesses across the North East, most of Yorkshire and northern Cumbria.
The Scheme is an existing client of Legal & General, with Legal & General Investment Management (LGIM) having managed a proportion of the Scheme’s assets since the Scheme was established in 2005. This transaction is the Scheme’s first buy-in policy and covers around two thirds of its members.
By being prepared, and able to move quickly, the Trustee and NGN were able to take advantage of favourable market conditions to establish the buy-in. Legal & General’s price lock, while the legal agreement was progressed, gave the Trustee a high degree of price and execution certainty prior to completion of the transaction.
Rachel Cutts, Director, Legal & General Retirement Institutional:"We are delighted to have completed this transaction, which provides further financial security to the members of the Northern Gas Networks Pension Scheme. This transaction demonstrates that by having a clear objective and flexible timescales, trustees can move quickly and secure their members’ benefits when favourable pricing is available. It builds on the Legal & General Group’s existing relationship with the Scheme and we look forward to continuing to work with the Scheme in the coming years."
Further information
Margrit Williams
Director of External Engagement, Legal & General Capital
Notes to editors
Established in 1836, L&G is one of the UK's leading financial services groups and a major global investor, with £1.2 trillion in total assets under management (as at FY25) of which c. 43% (c. £0.5 trillion) is international. We have a highly synergistic business model, which continues to drive strong returns. We are a leading player in Institutional Retirement, in Retail Savings and Protection, and in Asset Management through both public and private markets. Across the Group, we are committed to responsible investing and dedicated to serving the long-term savings and investment needs of customers and society.