Largest Pension Risk Transfer in the UK: L&G's £4.6 Billion Buy-in with Ford Motor Company

Strategic Insights -

Legal & General Assurance Society Limited (L&G) has completed a significant £4.6 billion buy-in with pension schemes sponsored by Ford Motor Company Limited, marking the largest pension risk transfer transaction announced in the UK in 2025. This transaction reinforces L&G's position as a trusted partner in the de-risking journey, with a global pension risk transfer (PRT) volume of £11 billion year-to-date in 2025. The buy-in secures the benefits of over 35,000 retirees across the Funds and demonstrates L&G's ability to combine deep partnership and tailored solutions across both asset management and PRT.

Key Takeaways:

  • L&G has completed almost half of the 20 largest UK buy-ins and buyouts announced since 2007, securing over £30 billion across these transactions.
  • This transaction is the largest pension risk transfer in the UK in 2025 and L&G's second-largest buy-in by premium size of all time.
  • L&G has a global PRT volume of £11 billion year-to-date in 2025, with a sector well-positioned for continued growth, estimating a market of closer to £50 billion in 2026.
  • The transaction demonstrates L&G's ability to combine deep partnership and tailored solutions across both asset management and PRT.
  • L&G provided a price lock linked directly to the Funds' assets to ensure price certainty while the contractual terms were finalised.
  • The Trustees paid the premiums through in-specie asset transfers, which helped to minimise transaction costs.

Statistics:

  • £4.6 billion: the value of the buy-in transaction with Ford Motor Company Limited.
  • £11 billion: L&G's global pension risk transfer volume year-to-date in 2025.
  • Almost half: L&G has completed almost half of the 20 largest UK buy-ins and buyouts announced since 2007.
  • £30 billion: the total value of transactions secured by L&G across the 20 largest UK buy-ins and buyouts.
  • £50 billion: the estimated market size for UK pension risk transfers in 2026.

Sources:

  • Legal & General Group Plc
  • The Biggest Buy-Ins and Buyouts Announced Since 2007, Professional Pensions, September 25, 2025 (Source: Legal & General Group Plc)