Ibstock Pension Scheme secures £340m buy-in with Just Group

Ibstock Pension Scheme has completed a £340m buy-in transaction with Just Group, securing the benefits of more than 1,800 pensioners and over 50 per cent of the scheme’s total liability.

Just, which has now completed more than 200 transactions since entering the market in 2012, said the move provided further security to the scheme’s members and represented a “significant step” in the brickmaker's strategy of de-risking its pensions exposure.

Trustees were advised by Lane Clark and Peacock (LCP), Buck, and Addleshaw Goddard during the transaction, while Just was advised by Pinsent Masons.

BESTrustees director and Ibstock Pension Scheme chair of trustees, Rachel Tranter, said: “I am delighted to have been able to lead the trustees of the Ibstock Pension Scheme to take practical and cost-effective steps to improve the security for all members of the scheme.

“Just provided clarity during a time of huge global uncertainty and our advisers skilfully guided us through the process to a successful conclusion; we always felt in safe hands and we’re pleased with the end result.”

LCP partner, David Stewart, commented: “We are really pleased to have helped the trustees overcome the hurdles thrown up by Covid-19 to lock into pricing materially better than pre-Covid-19 levels. This was a significant step in the trustees’ de-risking journey helping them secure around half of the scheme’s liabilities while reducing the shortfall required to meet their long-term goal.

“Since the start of lockdown, LCP have helped 23 schemes take advantage of the attractive pricing post-Covid-19.”

Just Group chief executive officer, David Richardson, added: “We are pleased to have supported the trustees and sponsor of the Ibstock Pension Scheme in their de-risking journey to help members. This is a significant milestone for our defined benefit solutions business. It’s our largest single transaction to date and marks our 200th transaction.

"We have written over £7.5bn of premiums to secure the benefits of over 30,000 members since we entered the defined benefit de-risking market in 2012.”

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