Scottish Friendly expands with £2.16bn acquisition from Fidelity International

Financial mutual Scottish Friendly has acquired pension and annuity payment books from Fidelity International. 

This move adds £2.16bn to their assets under management (AUM), now totalling over £6.3bn. 

The acquisition includes unit-linked Section 32 pensions with £2.16bn assets, covering about 40,000 policyholders, and in-payment annuities with £6.6m liabilities for approximately 1,000 annuitants as of 31 December 2024.

Subject to regulatory approval, the transfer is expected to complete by the end of September 2026. 

Stephen McGee, chief executive of Scottish Friendly, said: “This is a significant acquisition for Scottish Friendly, growing our business and offering long-term value for our eligible members through our ProfitShare initiative. 

“We are committed to helping our customers and their families achieve financial wellbeing through friendly products and customer care. 

“For customers transferring to us, we will ensure they receive the service and support they need during this period and beyond.”

McGee added: “I am delighted that Fidelity International has chosen Scottish Friendly as a credible partner and has entrusted us with its customers.