Legal & General (LGEN) has completed the largest ever UK bulk annuity transaction, underwriting £4.4bn in liabilities for the British Airways pension scheme. The buy-in covered 22,000 pensioner members of the Airways Pension Scheme and included the conversion of existing longevity insurance into a bulk annuity transaction.
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The deal takes the global total pension de-risking transactions completed by the life assurer to £6bn during the year to date, while it is quoting on a further £27bn of UK pension risk transfer deals. Around £7bn of these potential deals are in exclusive negotiations.