Marvin OnumonuM&G reached a significant milestone after completing 11 bulk purchase annuity (BPA) transactions in 2025, delivering new business volumes of £1.5bn, with £1.0bn written in Q4 alone.
This marked a 65% year-on-year increase, up from £0.6bn in 2023 and £0.9bn in 2024.
Around £140m of capital was deployed to support new business, mainly in the second half of the year, in line with the target of up to £150m per annum.
Double digit returns are expected on the capital used.
No longevity reinsurance was used for the 2025 transactions, though it remains an option for the future.
M&G is aiming for £3 to £4bn of annual sales by 2027, with plans to develop products and strengthen its position in the market.
Kerrigan Procter, managing director corporate pension solutions at M&G, said: “Through the disciplined execution of our corporate pension strategy during 2025, we have rapidly scaled our position as a trusted partner for UK pension funds.
“Our balance sheet, asset capabilities and ability to deliver a differentiated proposition to the UK’s Pension Risk Transfer market, mean we can offer our clients excellent experience and outcomes.
“With a clear roadmap and strong momentum, we look forward to continuing to deliver long-term value for both clients and shareholders.”
