A bus and train operator across the UK and North America has consolidated its pension scheme assets in within the Local Government Pension Scheme (LGPS).
FirstGroup has helped create a £1bn fund after £700m of its assets were transferred from local government funds in West Yorkshire and South Yorkshire to the Greater Manchester Pension Fund (GMPF).
This brings the three local government schemes under the control of one administrator, with the aim of cutting costs and giving FirstGroup more influence over the investment strategy.
FirstGroup head of pensions Richard Murray said the success of this consolidation is due to its long-standing relationships with all three funds.
“The consolidation will enable us to better manage the risks across our LGPS schemes, giving us greater control over investment strategy, an improved balance sheet, and will enable us to better manage our funding across these obligations,” he added.
“This will allow us to improve cost control while maintaining members’ benefits.”
