Press Releases

Hymans Robertson confirms that total pension scheme buy-in and buy-out volumes reached £27.7bn in 2021, the third highest year on record.

After a slow start to 2021, £20.9bn of buy-ins and buy-outs completed in the second half of the year, the second highest ever total for a six-month period ending on 31 December.

Hymans Robertson, the leading independent pensions and financial services consultancy, has promoted six colleagues to Partner. They become Partner at a time of growth for the firm which now has over 1100 employees.

Those newly promoted to Partner are Laura Blackwood, Robert McInroy, Samer Hafiz, Simon Mortimer, Shirley Brown and Victoria Rolfe.

Companies should take more control of their valuation process as they approach forthcoming triennial valuations warns Hymans Robertson. Nearly two thirds (61%) of pensions scheme professionals at one of its recent webinars reported that the Trustees, rather than the Company, took the lead at the last valuation. The leading pensions and financial services firm cautions, however, that the tougher regulatory regime and enhanced regulatory powers that are now in place mean companies should take the control to get the best outcome and to manage increased regulatory risk.

Half of all the UK’s £2 trillion private sector Defined Benefit (DB) pension scheme liabilities are expected to be insured by the end of 2031 according to Hymans Robertson as it issues its annual risk transfer report today.

Commenting on today’s ‘Levelling Up the UK’ white paper, and the opportunity for illiquid investments, Callum Stewart, Head of DC Investment, says:

"In today’s ‘Levelling Up the UK’ White paper, the government has once again reiterated its commitment to relax DC charge cap rules to help encourage greater levels of investment in illiquid assets. Through the creation of new long-term asset funds, schemes will be able to access investments that could improve returns net of costs and charges over the longer term. The paper is evident of the willingness to explore illiquid investments."

Commenting on today’s announcement of the DWP Consultation on the draft Pensions Dashboards Regulations 2022, Karl Lidgley, client manager for third-party administration, Hymans Robertson, says:

“It is good to see the publication of this consultation which covers many of the key aspects that will contribute to the successful introduction of the pensions dashboard. This should help to give much needed clarity on what needs to be done over the coming months and years. The pensions dashboard will be the most transformational event to support UK savers for retirement in our lifetime. As well as re-uniting people with their lost pensions, it will enable far more effective, personalised guidance to give savers the support they need for the best possible retirement. We know times are hard for people and as an industry we must do everything we can to maximise every possible penny people will have for retirement. A comprehensive working pension dashboard is fundamental to this goal.”

DB pension schemes with a 2020 triennial valuation could make significant PPF levy savings by updating their PPF valuation this year, claims Hymans Robertson. These schemes are particularly at risk from having to pay higher PPF levies than they need to in 2022 because their current PPF valuation is from 31 March 2020, when asset prices were depressed due to the impact of the Covid-19 pandemic. At the same time the leading pensions and financial services consultancy is reminding sponsors they need to be considering action well before the usual 31 March 2022 deadline to minimise their PPF levy.

Commenting on the Cushon purchase of Creative Pension Trust, Michael Ambery, Partner, Hymans Robertson says:

“The announcement about Cushon’s purchase of Creative is great news, and indication of a very busy Workplace Savings market in 2022. This is the first headline consolidation of Master Trust providers this year, and highlights a market that is moving in this direction. We believe this acquisition will provide real value for members."

Transferring a DB scheme into a superfund such as Clara-Pensions can provide savings of as much as 10% for employers, according to the analysis by Hymans Robertson in its revised paper ‘A Closer Look at Clara’. The paper has been updated following the TPR announcement that Clara-Pensions had successfully completed the assessment process for defined benefit consolidators.

Commenting on today’s DWP consultation outcome, Stronger Nudge to Pensions Guidance, Michael Ambery, Partner says:

“Any support to ensure consumers make the right pensions decisions and remain fully aware of the support that is available is welcome. We are pleased to see the consultation announcement but hope, that once implemented, it doesn’t become a tick box exercise in which consumers simply opt out of receiving guidance. It will be vital that employers, trustees and the industry look at the Guidance that is available and work together to increase both engagement and awareness. They must take responsibility for highlighting the importance of life-changing financial decisions at all stages of the pension and savings journey."

Hymans Robertson acted as lead adviser to the Imperial Tobacco Pension Fund (the “Fund”) in the completion of a £1.8 billion buy-in with Standard Life, part of Phoenix Group, covering the Fund’s liabilities in respect of c.6,600 members.

The Institute of Chartered Accountants’ Staff Pensions Fund has today announced the completion of a £50 million bulk annuity buy-in transaction with Canada Life Limited. This is the third successful transaction for the Fund and its first with Canada Life.