Phoenix to restructure pensions business as Standard Life boss retires
Phoenix Group is set to merge its pension solutions and asset management arms this year in a bid to rein in costs, as the boss of its Standard Life brand retires from the company after five years.
In a statement today the FTSE 100 pensions giant, which manages around £290bn assets for savers, said it would create a “flatter” leadership structure with chief investment officer, Mike Eakins, overseeing a new division combining the two businesses.
“This structure will create many opportunities for Phoenix Group to deliver real benefits from bringing the capital intensive elements of its business into one place and develop retirement propositions together,” Phoenix said in a statement.
The merger of the units will aim to more closely tie its investment decision making to its retirement outcomes as pressure grows on pension firms to inject cash into businesses and infrastructure projects.
Phoenix was among the signatories of the previous government’s Mansion House compact in 2023, which committed pension firms to invest five per cent of their assets into unlisted firms by 2030. Last year, it announced a new venture with Schroders to invest in private companies.
No jobs will be lost as part of the merger of the two units, Phoenix said.
The combination will take place in the coming months ahead of Standard Life’s boss Andy Curran retirement this Summer. Phoenix said today he had overseen a “transformative” period for the firm.
“He has been inspirational in transforming and turning around the business and he has been a tireless champion of customer interests,” said Andy Briggs, Phoenix chief executive.
Standard Life’s head of savings, Colin Williams, and international chief, Nigel Dunne, will remain in their roles, while Mark Screeton will continue as chief executive of the SunLife business.
Phoenix bought Standard Life Assurance in 2018 before acquiring the rights to the brand from Standard Life Aberdeen in 2021, as part of the latter’s rebrand to ‘Abrdn’.
Under Curran’s leadership, Standard Life hit a £1.5bn new business target two years ahead of schedule, Phoenix said.
He has been vocal in warning that British savers are sleepwalking into retirement poverty by not committing enough cash to their pension pots.
In a statement today, he warned that “urgent action” was still needed to address the issue.
“By the early 2040s, three in five people will be entering retirement with inadequate savings,” Curran added.