The trustee of the P&O Pension Scheme has agreed a £440m buy-in with Rothesay, covering the retirement benefits of 5,300 members.

The deal covers all remaining uninsured members of the scheme, following a previous buy-in to cover existing pensioners in 2007, with all of the scheme's members now secured by Rothesay.

Barnett Waddingham acted as actuarial and risk transfer advisers, while legal advice was provided to the trustee by Eversheds-Sutherland, and administration and investment services were provided by Mercer. Rothesay, meanwhile, was advised by CMS.

Trustee chair, Steve Delo, said that the deal was the result of “many years of hard work by a diligent trustee board and brings to fruition the vision that senior pensions manager, Jane Healy, has pursued with focus and determination since she joined P&O over a decade ago”.

He continued: “We are delighted to complete this transaction with Rothesay, improving security for members’ benefits.

“We also could not have reached this milestone without the support of the scheme’s sponsor, P&O Steam Navigation Company and its group parent, DP World. There has been a tremendous dynamic between Jane and her team, senior management at DP World, the trustee board, our excellent advisers and Rothesay.

"It has been a privilege chairing the trustee board during this project and an incredibly busy few months have delivered a great outcome!”

Adding to this, P&O Steam Navigation Company director and DP World European region MD and CEO, Rashid Abdulla, said: “We are delighted that the P&O Pension Scheme has secured benefits for the remaining members of the scheme.

“The company has worked closely with the trustee and its advisers for many years to support the pension scheme and this deal acts to further increase the security of pension benefits for members, whilst reducing risks.”

Barnett Waddingham head of bulk annuities and risk partner, Rosie Fantom, also highlighted the “significant milestone” as testimony to the hard work of the trustee, company and all the parties who worked together on the transaction.

“This buy-in has been completed within nine months of our appointment as risk transfer adviser. We guided the trustee through focussed preparations and driving a competitive process in an exceptionally busy risk transfer market,” she continued.

“As one of BW’s longstanding scheme actuary clients, we were able to identify a market opportunity and help the trustee to respond quickly. We are very pleased to have led the trustee through this important process for the scheme and its members.

“Our sincere thanks to the trustee, the pensions team, all advisers, and Rothesay for collaborating so effectively to achieve this transaction.“

Rothesay business development, Róisín O’Shea, added: “It is always pleasing when an existing client chooses to work with us again to protect its members’ pensions and we are delighted to secure the benefits of the remaining members of the scheme through this second buy-in."

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