The Imperial Home Decor scheme has completed a £5m enhanced buyout deal with Partnership for its defined contribution (DC) section.

The deal, which was developed over 12 months by Partnership, Bridge Trustees and Capita Employee Benefits, secures the pensions of almost 140 DC members who previously have been receiving interim pensions.

Imperial Home Decor's DC scheme has been in wind up since October 2003, when the company was declared insolvent.

Defined benefit (DB) scheme members will continue to be paid by the Financial Assistance Scheme.

David Harvey, Partnership head of de-risking solutions, said: "Given the history of the scheme and the unique nature of their requirements, we were delighted to be chosen to work closely with all parties.

"We feel that the innovative solution we developed allowed the trustees to discharge their liabilities whilst giving all members genuine choice over the shape of their pension."

Bridge Trustees chairman Giles Orton described the project as a "challenge", but said he was "pleased" that all the parties involved were able to find the right solution for the scheme's members.

Capita Employee Benefits' Kenneth Donaldson said: "Having worked hard on this deal with Bridge Trustees and Partnership for over a year, we feel that we have developed the right de-risking vehicle for the problems that we faced.

"Not only will it allow the trustees to discharge their obligations but also help to ensure that the scheme members receive the type of pension provision they saved for."

First published 17.06.2013

monique_simpson@wilmington.co.uk