Rolls-Royce Holdings plc
Rolls-Royce Holdings plc
08/11/2025 | Press release | Distributed by Public on 08/11/2025 00:02
Rolls-Royce UK Pension Fund trustee secures defined benefit pension scheme buy-in with Pension Insurance Corporation (PIC)
Rolls-Royce Holdings plc (LSE: RR., ADR: RYCEY) today announces that the trustee of the Rolls-Royce UK Pension Fund has secured an agreement for a £4.3bn bulk annuity insurance 'buy-in' for the scheme with Pension Insurance Corporation (PIC).
The deal will fully insure benefits payable from the Fund, providing certainty and security for the defined benefit scheme's 36,000 members. They will have their benefits secured by one of the UK's largest regulated insurers, with a strong track record of high standards of customer service.
The deal involves the final defined benefit pension scheme backed by Rolls-Royce in the UK. The buy-in includes the transfer of assets in exchange for an insurance arrangement that offsets liabilities. It has been secured in anticipation of a full 'buy-out' - in which liabilities and management of benefits are transferred - of the scheme at a later date. The company's UK defined contribution scheme, the Rolls-Royce Retirement Savings Trust, is unaffected.
Liz Airey, Chair of Trustees, Rolls-Royce Pension Fund, said:
This is a landmark agreement that will result in increased certainty and security for Rolls-Royce pension scheme members. In PIC, we have found a partner who will also be able to maintain the high levels of customer service that our members deserve."
Helen McCabe, CFO, Rolls-Royce, said:
This is a win-win for all our stakeholders. We are proud to have been able to fully fund and secure the pension promises made to colleagues, former colleagues and their families. This deal is also another step on our journey towards simplifying Rolls-Royce."
The transaction will be fully funded from existing pension plan assets and will result in a reduction in Group net assets of approximately £0.6bn. A full transfer of liabilities is anticipated within the next 12 months, coincident with PIC assuming direct responsibility for delivering insured benefits.
About Rolls-Royce Holdings plc
- Rolls-Royce is a force for progress; powering, protecting and connecting people everywhere. Our products and service packages help our customers meet the growing need for power across multiple industries; enable governments to equip their armed forces with the power required to protect their citizens; and connect people, societies, cultures and economies together.
- Rolls-Royce has a local presence in 48 countries and customers in over a hundred more, including airlines and aircraft leasing companies, armed forces and navies, and marine and industrial customers.
- Through our multi-year transformation programme, we are building a high-performing, competitive, resilient and growing Rolls-Royce. We are building the financial capacity and agility to allow us to successfully develop and deliver the products that will support our customers through the energy transition.
- Annual underlying revenue was £17.8 billion in 2024, and underlying operating profit was £2.46 billion.
- Rolls-Royce Holdings plc is a publicly traded company (LSE: RR., ADR: RYCEY, LEI: 213800EC7997ZBLZJH69)
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Rolls-Royce Holdings plc published this content on August 11, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on August 11, 2025 at 06:05 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]