In a significant move within the UK's financial services sector, pensions heavyweight WTW is in exclusive negotiations to purchase the Cushon workplace pensions platform from high street bank NatWest Group.
The Deal in Detail
Sky News has learned that WTW, the company formerly known as Willis Towers Watson, has emerged as the leading contender following a competitive auction that drew interest from several major industry players. The exact price being discussed for the acquisition remains undisclosed as of Friday, 28th November 2025.
According to the most recent data provided by NatWest, Cushon manages a substantial £3.7 billion in assets. The bank initially acquired a controlling stake in the business just two years ago, in 2023, for a sum of £144 million. Currently, NatWest holds an 85% share of Cushon, with the remaining 15% stake owned by the subsidiary's own management team.
The platform is a major player in the workplace savings arena, serving approximately 650,000 members across a vast network of around 21,000 employer clients.
Strategic Shifts and Market Context
For NatWest, a sale aligns perfectly with CEO Paul Thwaite's strategic vision to sharpen the bank's focus on its core priorities. This refocusing comes in a landmark year for the bank, which shed the last vestiges of taxpayer ownership earlier in 2025.
Mr. Thwaite's strategy emphasises a bank-wide simplification programme and more active management of its balance sheet and risk. The original acquisition of Cushon was intended to diversify NatWest's non-interest income by offering its products to commercial and business banking customers.
Cushon itself offers a suite of products beyond its core workplace pension, including a range of workplace ISAs such as Junior ISAs, Lifetime ISAs, and General Investment Accounts.
A Changing Pensions Landscape
This potential transaction unfolds against a backdrop of major reform in the UK pensions industry. The government announced sweeping changes in 2025 aimed at creating larger, more efficient pension schemes. A key goal is for defined contribution schemes to be managing assets of at least £25 billion by the year 2030.
Furthermore, the industry is currently reacting to Chancellor Rachel Reeves's recent multibillion-pound tax change affecting salary sacrifice pension schemes, a move that has caused significant concern among providers.
Both NatWest and WTW have been contacted for comment regarding the ongoing talks.
