Britax Childcare Group has completed a buy-in involving three of its defined benefit (DB) pension schemes with Just Group.

The £30m deal, which was completed in June 2021, covers around 300 members and insures 70 per cent of the liabilities across the three separate schemes, including all the liabilities of the smaller Lloyds Garage Pension Scheme.

All three schemes, the Britax Childcare Limited Pension Fund, the Jessups Group of Companies Pension and Life Assurance Plan (1973) and the Lloyds Garage Pension Scheme, are looked after by a single trustee board who were advised throughout the process by Broadstone and Gateley Legal.

The deal was achieved without additional funding from the sponsor and will enable the Lloyds Garage Pension scheme to be wound up.

Following a full detailed strategy process to make the schemes ready for buyout, the deal was secured from final competitive quotes to transaction in 11 working days.

“We are delighted to have completed this transaction with Just to secure such a large proportion of the schemes’ liabilities, achieving significant risk reduction to the benefit of our members and the employer,” commented chair of the trustee, Stephanie Gardiner.

“This represents the successful culmination of a long-term project, and the trustee has greatly valued the support of our advisers, particularly Broadstone in preparing us for and helping us complete the deal, coordinating and collaborating with all the parties involved.”

Just Group business development manager, Martin Parker, added: “It is a great result to have completed this unique transaction, the first time Just has been involved in transacting across three schemes simultaneously. 

“The schemes were well prepared which allowed us to quickly move to transacting and we’re really pleased to have provided this security for the scheme members, employer and trustee.”

Broadstone head of consultancy and actuarial, Nigel Jones, stated that it was “fantastic news” the firm had been able to assist the trustee and Just to secure the deal.

“With our continued growth and increasing demand from our schemes for bespoke insurance solutions, we expect our specialist risk transfer team to be completing more of these transactions over the coming months,” he concluded.

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