Standard Life partners with Goldman Sachs, CVC to commit £2bn to UK pension risk transfer market

Published Aug 20, 09:54 AM UTC

Standard Life, a FTSE 100 insurer, has formed a partnership with a consortium led by CVC, including Goldman Sachs and Prudential, to commit up to £2 billion over five years to the UK pension risk transfer (PRT) market. Standard Life will contribute £500 million from its excess cash and hold 51% voting rights. The deal aims to provide the capital needed to take on large corporate pension schemes, using the partners' high-yielding global investments to offer competitive pricing. This is the latest in a series of tie-ups between UK insurers and private capital firms eyeing the £1.3 trillion pension buyout sector. However, the Bank of England has begun clamping down on funded reinsurance, a related tool used by firms like Standard Life, citing concerns over capital underpricing and domestic fund outflows.