Vector Pension Scheme has concluded a £114m buy-in deal with Standard Life, covering approximately 1,800 scheme members.

The full scheme buy-in transaction was completed in November 2023, with XPS Pensions Group acting as lead adviser to the trustee.

Legal advice was provided by Osborne Clarke LLP.

The scheme trustee worked with Standard Life over an “extended period” to monitor transaction affordability, alongside managing the scheme’s illiquid asset holdings.

“Significant” preparation work was completed by Standard Life, the trustee and their advisers, which allowed the trustee to move quickly to insure its members’ benefits once the scheme’s assets were transaction ready.

“We are delighted to have brought security to our members' pensions via our policy with Standard Life,” commented chair of the trustee, Stephen Smith.

“This was a complicated project that ran over several years and we thank XPS and Osborne Clarke for the clarity and expertise they brought in assisting us through the process.

“Standard Life have been an open and willing partner through the project, and we look forward to working closely with them in the future.”

Standard Life senior business development manager, Rhian Littlewood, noted that the firm had been working with the trustee for more than two years to monitor the scheme’s funding position and strategy for managing the sale of the scheme’s illiquid asset holdings.

“Working closely with the scheme’s advisers to agree contractual terms in advance meant the scheme was well positioned to move quickly on a transaction when the time was right,” Littlewood continued.

“This collaborative approach ensured a smooth and efficient de-risking process for the scheme, securing the liabilities for c. 1800 members.”

XPS Pensions Group risk settlement team partner and lead broker, Ash Williams, added: “We are really pleased to have led the trustee through this transaction which brings together several years of hard work from all stakeholders and importantly secures pensions for the scheme members with Standard Life.

“The collaborative and close partnership with Standard Life and the innovative execution structure agreed up front was effective and allowed the trustee to take advantage of optimal market conditions and complete the transaction.”

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