Proposed transfer of certain annuities from The Prudential Assurance Company Limited to Rothesay Life Plc

In March 2018, Prudential plc announced its intention to demerge M&GPrudential, its UK and European savings and investments business, and to list it as an independent company on the London Stock Exchange. The company, now called M&G plc, was listed on the London Stock Exchange on 21 October 2019.

As an independent company, M&G plc is continuing its transformation into a more capital-efficient business, targeting growing demand for savings and investments solutions.

In support of this transformation, it proposed that approximately 370,000 annuity policies of The Prudential Assurance Company Limited would be transferred to Rothesay Life Plc by means of an insurance business transfer scheme under Part VII of the Financial Services and Markets Act 2000 (FSMA). For a small number of policies, where the policyholders are resident in either Jersey or Guernsey, there will also be equivalent insurance business transfer schemes in Jersey and Guernsey.

Previous update

The transfer process is governed by Part VII of the Financial Services and Markets Act 2000.

The transfer required approval from the High Court of England & Wales. Following the conclusion of the approval hearing, the Judge did not approve the transfer and we were given permission to appeal the judgment.

Having considered our position and taken appropriate legal advice, we lodged our notice of appeal with the Court of Appeal on 27 September 2019. 

We decided to appeal having been advised that in reaching its decision to decline to approve the transfer, the High Court may have made material errors of law. We believe the High Court’s judgment should therefore be re-considered by the Court of Appeal.

We previously advised that we expected the appeal would be heard in the Court of Appeal in Spring or Summer 2020, but due to the situation with the Covid-19 pandemic, we asked the Court of Appeal to delay it.

Latest position

The appeal hearing is likely to be held in late autumn 2020 although this has not yet been confirmed. When we have further information about the date, we’ll publish it here. We’ll also update our recorded message on 0800 640 9164 (UK) and +44 203 755 9194 (overseas).

Following the appeal hearing, we do not expect an immediate decision but anticipate this will follow some time later in 2020 or early in 2021. 

The Court has indicated however that whilst the Court of Appeal will make a decision on whether the original approval hearing outcome was correct or not, it has also directed that should the appeal be successful, there will need to be a separate approval hearing at the High Court to decide if the transfer should proceed. In that event, we’ll write to you at least six weeks before this hearing to let you know details. 

We’ll continue to publish updates about the proposed transfer here and we’ll also update our recorded message as and when appropriate.

The current benefits, terms and conditions, and service for the policyholders covered by the proposed transfer are unaffected.

Check if your policy might be impacted

You'll need your 16 digit annuity policy number to hand which can be found on any correspondence we sent you. If you have more than one annuity policy, you will need to check each policy in turn. If you cannot find your annuity policy number please call us on

0800 640 9164 or +44 203 755 9194 0800 640 9164 or +44 203 755 9194

if calling from outside the UK. Our lines are open between 8.30am and 6pm, Monday to Friday, except on bank holidays.

We might record your call for training and quality purposes. To find out more about how we use your personal data please see our Data Privacy Notice.

More about Rothesay Life Plc

Rothesay Life Plc was established in 2007 and has become one of the largest specialist annuity providers in the UK market, with over £50bn assets under management and insures the annuities of over 800,000 individuals. Rothesay Life Plc is authorised by the Prudential Regulation Authority (PRA) and regulated by the Financial Conduct Authority (FCA) and the PRA. You can find out more by visiting rothesaylife.com/

Important Documents

In February/March 2019, we sent policyholder packs to those customers whose annuity policies might be transferring to Rothesay Life Plc. You can download copies of the documents included in those packs and other reports here:

This letter is specific to individual policyholders holding an annuity that it is proposed will transfer. 

Download letter

This letter is specific to Trustees of pension schemes holding an annuity that it is proposed will transfer.

Download letter

This letter is specific to the members of certain pension schemes holding an annuity that it is proposed will transfer, where PAC has an agreement with the Trustees to contact such members directly.

Download letter

This booklet, sent with the each of the letters above, contains a Questions and Answers section as well as a summary of the Scheme, a summary of the Independent Expert Report and a copy of the Legal Notice of Transfer.

Download circular

This document sets out the terms of the proposed transfer.

Download document

This document reflects the changes made to the original Scheme Document that was submitted to the High Court for the directions hearing in January 2019.

Download document 

This document sets out the Independent Expert’s analysis of the impact of the proposed transfer on policyholders. A summary of the Independent Expert Report is in the Policyholder Circular.

Download report

This document sets out the Independent Expert’s description of developments since publication of his main report dated 21 January 2019, including an updated assessment of the proposed transfer.

Download document

The Independent Expert’s letter of clarification regarding Guernsey Policies.

Download document

The Chief Actuary of The Prudential Assurance Company Limited (PAC) provides a report on the impact of the proposed transfer on transferring and non-transferring PAC policyholders.

Download report

This document provides an update to the main report dated 18 January 2019.

Download document 

The PAC With-Profits Actuary reports on the impact of the proposed transfer on transferring and non-transferring PAC with-profits policyholders.

Download report

This document provides an update to the main report dated 18 January 2019.

Download document

This is information for the Jersey Scheme

Download document 

This is information for the Guernsey Scheme

Download document 

This is information for the Jersey Scheme.

Download document

Contact us 

Post: 

Write to us at: 
Prudential Customer Services
Lancing 
BN15 8GB

Phone: 

Call us on 0800 640 9164 or
+44 203 755 9194 if calling from outside the UK. Our lines are open between 8.30am and 6pm, Monday to Friday, except on bank holidays. Calls are free from UK landlines and mobile phones.

Secure Message:

Send us a secure email from our website. Please visit pru.co.uk/prumail

Email:

Email us directly at annuitytransfer@prudential.co.uk

(please note sending an email to this address is not a secure method of communication; if you are including any personal or sensitive information, such as your address, we suggest you use our secure email or one of the other methods).