As a result, Aviva will insure the defined benefit liabilities for around 360 members across both Red Cross schemes, removing the investment and longevity risk of these members. They will see no change in their benefit entitlement as a result of the transaction.

In addition, the deal expands Aviva and its existing relationship with the British Red Cross to collaborate on building safer and stronger communities.

The deal was advised by Barnett Waddingham and Womble Bond Dickinson provided legal advice.

Jamie Cole, head of bulk purchase annuity origination at Aviva, said: “We are delighted that the Trustees of the schemes chose Aviva to secure member benefits. Aviva and the British Red Cross have a long heritage, and we have supported the important work they do in building more resilient communities since 2016. We look forward to our relationship continuing as we welcome the scheme members following the buy-out.”

Keith Jecks, chair of trustees for the British Red Cross pension funds, commented: “It gives me great satisfaction that we have now achieved the Trustees’ long-term goal of securing the benefits of our members through Aviva. We are grateful for the support provided to us by Barnett Waddingham over many years, including as lead adviser for the transaction, and for the constructive engagement of the British Red Cross throughout the process.”

Steve Hitchiner, partner at Barnett Waddingham, added: “We are delighted to be able to help the Trustees of both schemes secure members’ benefits with Aviva, having advised on their successful de-risking journeys over a number of years. The close collaboration between the Trustees and Society has enabled the schemes to achieve an excellent outcome with Aviva in a busy market.”

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Clive MacTavish, British Red Cross chief finance officer, continued: “Aviva has been a valued supporter of the British Red Cross since 2016. Through their generous contributions of time, skills and funding, we’ve supported communities in the UK and around the world to be better prepared and able to respond to crises. As well as helping us be there for people when disaster strikes. We’re delighted to be working with them again to secure the benefits of both schemes for pension members and, thanks to this collaboration between Aviva and our Pension Trustees, our members can now feel even more secure about their pensions.”