Avon Cosmetics Pension Plan has completed a £235m bulk purchase annuity (BPA) deal with M&G, securing the benefits of more than 3,000 members.
The transaction was executed by The Prudential Assurance Company Limited (PAC), M&G’s wholly owned subsidiary, providing life and pensions solutions.
The trustees were advised on the transaction by WTW as the risk transfer adviser and scheme actuary, CMS as the legal adviser, and SEI as the investment adviser.
Avon Cosmetics Pension Plan chair of trustees and Avon chief people officer, Michelle Parczuk, described the buy-in as a “pivotal moment” in the scheme’s de-risking journey.
“The trustees are delighted to have partnered with M&G to complete this transaction,” she continued.
“This buy-in helps to provide greater certainty to members about the security of their benefits and represents a pivotal moment in the plan’s de-risking journey. My thanks to everyone involved for a great team effort in making this happen."
The deal marked M&G’s latest BPA transaction, following total new business volumes of £1.5bn during 2025.
The insurer said its proposition was well received by the trustees, who recognised its ability to insure and administer the plan’s complex benefit structure.
It stressed that the trustees also valued the enhanced level of ongoing support M&G could provide in managing the scheme, with a focus on maintaining a strong member experience.
M&G head of bulk annuity origination & execution, Rosie Fantom, said the transaction represented an important milestone for the scheme.
“This transaction marks an important step in securing the future benefits of over 3,000 plan members," she continued.
“It highlights our ability to deliver tailored solutions for complex schemes and reinforces our focus on providing certainty and confidence for trustees and members alike.”
Meanwhile, WTW senior director, Gemma Millington, added that the trustees had been focused on achieving an optimal outcome for members, including preserving all member options and covering complex scheme benefits.
“It was a pleasure to work with the trustees, Avon, M&G and the wider advisory teams to deliver the transaction objectives,” she said.
“We’re seeing strong market competition delivering attractive pricing and pushing insurers to continually improve member experience.”
