Aviva has completed a £700 million BPA buy-in deal with the ABB Plan, enhancing pension security for over 7,350 members.

Target Information

Aviva has successfully finalized a £700 million bulk purchase annuity (BPA) buy-in transaction with the ABB Plan, marking a significant milestone in safeguarding pension benefits for over 7,350 members, including more than 4,450 pensioners and over 2,900 deferred members. The transaction, completed in July 2025, incorporates a £620 million in-specie asset transfer consisting of UK and US corporate bonds as well as UK gilts. The scheme is sponsored by ABB Limited, a renowned global leader in electrification and automation technology.

Industry Overview

The UK pensions industry is characterized by a diverse landscape in which various schemes aim to provide financial security for retirees. The sector has seen a shift towards risk management strategies, such as bulk purchase annuities, which help mitigate pension liabilities. A growing number of defined benefit schemes are opting for buy-ins to enhance financial stability and reduce risks associated with market fluctuations.

Recent regulatory changes, alongside increased scrutiny on pension funding practices, have driven a rise in buy-in transactions within the market. These developments su