Master trust provider Cushon has reached an agreement to acquire Creative, manager of the Creative Pension Trust, for an undisclosed amount.

The acquisition, which is subject to regulatory approval, will more than double the size of the provider to 400,000 customers, while assets under management are set to increase by 102 per cent to around £1.7bn.

The Creative Pension Trust is expected to bring an additional 14,500 employers, making Cushon the UK’s fifth largest master trust provider by number of employers.

The acquisition is expected to be completed in Q1 2022 and was made possible thanks to a recent fundraising round, with a total of £61m raised by the provider since 2020.

It marks the third workplace pension acquisition by Cushon, which previously acquired both the Salvus Master Trust and the Workers Pension Trust (WPT).

Cushon CEO and founder, Ben Pollard, commented: “Right now, workplace pensions are simply too complicated, boring, and disconnected from things people care deeply about. Cushon is here to change that, and today’s announcement is a hugely significant milestone for us.

“The funding will continue to fuel Cushon’s growth, enable us to scale even faster, and accelerate some exciting new features within our app.

"It will also support the acquisition of Creative which not only doubles the reach of our app-first climate-friendly pension, but also incorporates the talent, expertise and credibility of the Creative business.

"This is another momentous step on our journey to ensure millions of people across the UK have the ability to access innovative workplace savings solutions in the palm of their hand, together with a right to feel optimistic for the future they are helping to build via their investments.”

Creative CEO, Sally Webber, added: “With more and more customers looking to use technology to manage their pension, and a heightened focus on the environmental and social impact of investments, joining the Cushon group will allow us to ensure our customers’ interests are both considered and protected.

"Our employers and customers alike will benefit from Cushon’s wider workplace savings offering and its innovative, technology-led approach – an approach that is unlike any other workplace savings provider in the market.

"We are excited to become a part of the Cushon Group, enhancing the offering for both our employers and customers and using market-leading innovation to improve engagement with pensions.”

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