The £27m Northern Powergrid Pension Scheme has appointed Blackrock to provide bundled defined contribution (DC) scheme services.
Blackrock will provide the 1,500-member trust-based scheme with investment management, member administration and communications services.
Northern Powergrid said the appointment was made to meet the changing needs of its membership following the introduction of freedom and choice reform in April.
Northern Powergrid Pension Scheme chairman John Elliott said: “The pension freedoms, which came into effect earlier this year, have brought a great deal more choice to DC scheme members. As trustees, it is our duty to ensure we offer the best solutions to our members to reflect the changing pension landscape. This new DC pension arrangement will offer our members increased flexibility and opportunities, whether their preference is to take cash from their funds from the age of 55 or over, to consider income drawdown or to take an annuity when they come to retire.”
The company, which runs the electricity distribution network that provides power to customers in the North East, Yorkshire and northern Lincolnshire, made the appointment following a tender process conducted by its consultant KPMG.
Blackrock head of UK DC Paul Bucksey added: “We have seen a dramatic shift in investor behaviour since the pension freedoms came into force, as retirees are taking advantage of the options now available to them. We will work with Northern Powergrid to help ensure their members are at the very best possible financial position at retirement, and able to take advantage of the new opportunities to the fullest.”
Comments