£15bn pension schemes deal

LLOYDS has swooped on a £15bn workplace pension business owned by Zurich UK as it fights for a greater share of retirement industry business.

The deal will give Lloyds access to a new IT system as it expands its operation, and undermines suggestions the bank is about to sell its Scottish Widows insurance brand. About 500,000 savers will be moved from Zurich to Widows, along with 200 staff.

As part of the deal, Zurich will get the exclusive right to sell company-wide life insurance schemes to some of the bank’s corporate clients. It also allows Widows to delve deeper into the auto-enrolment industry, where big finance companies are seeking to run pension schemes for small firms.