Pension Insurance Corporation Half Year Update

Pension Insurance Corporation PLC

09 September 2025

 

PENSION INSURANCE CORPORATION GROUP

HALF YEAR 2025 RESULTS

London, 9 September 2025 - Pension Insurance Corporation Group Limited¹, ultimate parent company of Pension Insurance Corporation plc ('PIC'), the specialist insurer of UK defined benefit pension schemes, today presents its results for the six months to 30 June 2025.

Tracy Blackwell, Chief Executive Officer of PIC, said: "PIC had a good first half underpinned by our resilient balance sheet, careful approach to the asset markets, and continued investment in customer service.

"We completed £1.1 billion of new business with eight schemes during the first half, including with the Financial Services Compensation Scheme Pension Scheme. In August we were delighted to sign a landmark £4.3 billion buy-in with the Rolls-Royce UK Pension Fund, covering the benefits of 36,000 people. The Fund has invested significantly in exceptional customer service for their members, so it was especially pleasing to have won this transaction based on our ability to provide the same levels of customer care and consideration.

"The continued growth of the pension risk transfer market will be driven by the desire of the trustees of UK defined benefit pension schemes to secure their members' benefits for the long term. This growth will be supported by the capacity and capability of institutions like PIC to invest at scale in UK housing and infrastructure. PIC has developed deep expertise in both areas and will continue to be a leader in this market based on our simple purpose, paying the pensions of our current and future policyholders."

On 3 July 2025, the acquisition of PICG by Athora Holding Limited, a leading pan-European savings and retirement services group, was announced. Subject to regulatory approval, PIC will become the UK insurance business of Athora. The transaction is expected to close in early 2026.

Highlights as at 30 June 2025

Policyholder payments and customer satisfaction

-     Number of pensions insured stands at 399,200 (FY2024: 397,100)

-     Policyholder pension payments of £1.2 billion during the first half of 2025

o To date, PIC has paid £17.8 billion of pensions to our policyholders

-     Customer service satisfaction levels of 99%

-     Three industry awards, including the Pensions Age Risk Management Provider of the Year, and the Institute of Customer Service Best Customer Partnership Award

-     PIC awarded Investors in People Gold, as well as Investors in People - Wellbeing accreditation

New business, operating profit, dividends

-     PIC completed £1.1 billion of new business with eight schemes during the period (HY2024: £3.0 billion), with clients including the Financial Services Compensation Scheme and Baker Hughes

-     In August, PIC announced a £4.3 billion buy-in with the Rolls-Royce UK Pension Fund

-     In the current year to end-August 2025, PIC has completed £5.5 billion of new business

-     Overall market expected to be £40 billion - £45 billion in 2025

-     New business Contractual Service Margin ("CSM") of £75 million (HY2024: £103 million)

-     Adjusted operating profit before tax ("AOPBT") of £314 million (HY2024: £326 million)

-     Interim dividend payment of £160 million

Robust balance sheet and low-risk portfolio

-     Solvency capital ratio of 236% (FY2023: 237%), significantly above our long-term target range, with surplus of £4.6 billion (FY2024: £4.7 billion)

-     £51.5 billion in financial investments (FY2024: £50.9 billion), with insurance liabilities of £44.8 billion (FY2024: £44.3 billion)

-     £14.6 billion invested to date in UK housing, infrastructure, and other projects

o PIC topped out One East Side, our £200 million build to rent development in Birmingham, the tallest tower in the city at 51 storeys

- ends -

Notes to Editors:

1)   The Pension Insurance Corporation Group (the "Group") includes PICG, the group holding company; PIC, the group regulated insurer; and Pension Services Corporation Ltd, the group service company

For further information please contact:

PIC                                                     Jeremy Apfel               [phone]

                                                            [e-mail]

About PIC

The purpose of PIC is to pay the pensions of its current and future policyholders. PIC provides secure retirement incomes through comprehensive risk management and excellence in asset and liability management, as well as exceptional customer service. At half year 2025, PIC had fully secured the pensions of 399,200 people, and had a portfolio of £51.5 billion, accumulated through the provision of tailored pension insurance buyouts and buy-ins to the trustees and sponsors of UK defined benefit pension schemes. PIC has made total pension payments of £17.8 billion to its policyholders, with a 99% customer satisfaction rating. PIC has invested £14.6 billion in private investments to date including in UK housing and infrastructure, creating considerable social value. Clients include FTSE 100 companies, multinationals and the public sector. PIC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and Prudential Regulation Authority (FRN 454345). For further information please visit www.pensioncorporation.com  

 

END