The UK's Steamship Insurance Management Services Limited Pension and Assurance Scheme has completed a £55m buy-in with Royal London, securing the benefits of more than 350 members.

The transaction is believed to be the UK’s first bulk purchase annuity (BPA) deal between two mutuals.

The trustees were advised by Wedlake Bell on legal matters and SECOR Asset Management on investment strategy, while Hogan Lovells acted for Royal London.

Barnett Waddingham also served as the risk transfer broker.

Trustee representative, Graham Jones, said that working with a mutual provider held "particular appeal".

“The opportunity to transact with a mutual was an important consideration for the trustees, given the emphasis we place on service and stability,” he continued.

“Supported by the excellent advice of Barnett Waddingham, Wedlake Bell and SECOR, we are pleased to have smoothly completed a buy-in with Royal London, which we believe is in the best interest of the members of the scheme.”

Royal London BPA origination manager, Tom Hill, added that the transaction highlighted the value of mutuality on both sides.

“We’re proud to partner with the trustees of the Steamship Pension and Assurance Scheme, a board who are deeply familiar with the power of mutuality,” he said.

“This transaction only acts to reinforce our long-standing commitment to providing a genuinely different choice in the BPA market and a first-class experience for trustees and their members over the very long term.”

Also commenting on the latest deal, Barnett Waddingham risk transfer advisor, Andy Smith, said: “Having worked with this scheme across a number of years, it’s been fantastic to help the trustees complete a buy-in transaction that achieved their objectives.

"Royal London were able to deliver on a number of fronts, across both price and their wider offering. It’s particularly exciting to have achieved a market first.”

This article was first published on our sister website, Pensions Age.

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