The impact of improved funding levels on pensions and the consequent buyout boom, is one of the most significant trends to affect the UK pensions industry in recent years. Last year, around £50bn was transferred from closed corporate defined benefit pension schemes to insurers. It’s estimated to be £60bn this year and with new market entrants, could hit £100bn a year.

In this episode, podcast hosts Charlotte Moore and David Brown are joined by Paul Kitson and Ben Grainger from EY, to talk about how insurance companies are investing those assets sustainably. Many insurers have ambitious net-zero targets in place but have tight regulatory constraints about how these annuity assets can be allocated. We discuss how this shapes potential investment as well as possible solutions and opportunities for asset managers to work with insurers.