Global financial services company Prudential has announced the conclusion of its UK business-process outsourcing (BPO) deal involving its life insurance and pensions business .
The 15-year pension sales and administration services deal with outsourcer Capita is the largest of its kind in the UK insurance market, worth a reported £745 million.
Capita said the new deal will build on an existing relationship with the financial services company since 2003 and includes the provision of Prudential UK's life insurance intermediary administration services, the sale of Prudential UK's Mumbai-based captive operation and the transfer of more than 3,000 staff in the UK and India .
Commenting on the deal, Gary Shaughnessy, managing director for Prudential Retail Life and Pensions, said the company had entered into what he described as "a cost effective, efficient and truly strategic outsourcing partnership".
Sourcing advisors TPI, who worked with the firm during its negotiations with Capita, said the deal was significant due to the size of the outsourcing transaction, adding such transactions generally tend towards smaller sizes and shorter durations.
John Keppel, TPI Global Financial Services partner, said: "This agreement represents a milestone for both Prudential UK and Capita, serving as a critical component of Prudential UK's ongoing transformation programme."
He added the deal highlights how the UKs life insurance industry continues to lead the way in the adoption of new business models "to compete and win in competitive, complex and highly regulated environments".




