Insurance and employee benefits intermediary group Howden has agreed to acquire UK professional services consultancy firm Barnett Waddingham for an undisclosed amount.

The acquisition will see the creation of one of the largest pensions and employee benefits consultancies in the UK.

Howden said the acquisition would bring pension and related advice capabilities to its business and provide a platform for its expansion in global markets.

The deal will double the number of employees in Howden’s employee benefits business, with the firm to have 10,000 staff across the UK serving more than two million individuals, alongside providing services to commercial and corporate clients.

The combined business will offer employee benefits and pensions advisory services to corporate clients, from multinational corporations to SMEs and in the private and public sectors, and will also provide health, life and specialist pension products.

Over the past five years, Howden has made investments of around £2.4bn as it looks to expand its UK operations.

Commenting on the announcement, Howden CEO, David Howden, said: “In our journey to build a global broker we recognise the need to create a world-class employee benefits business for our clients.

“As we always do, we have waited for the right partner to expand our capabilities, with experts who are entrepreneurial and culturally aligned, and with whom we can do more together. Barnett Waddingham’s people have this in abundance.

“In the UK, there will be over 10,000 of us in our wider business, across more than 200 offices. We’re serving millions of individuals, businesses and organisations, including over two thirds of the FTSE 100, bringing the same unique energy and approach to all our clients.

“Expanding our pensions advisory and administration capability is crucial to our long-term, global growth plans, and Barnett Waddingham provides a fantastic platform to build our capability for clients around the world.

“Critically, Barnett Waddingham’s working partners will reinvest significantly into Howden, underlining their commitment to a long-term future with us, and delivering extraordinary alignment for our future ambitions.”

Barnett Waddingham senior partner, Andrew Vaughan, added: "We’re really excited to join Howden because of its commitment to the UK market, and its unique culture.

“Being part of Howden also strengthens our ability to deliver even greater value to our risk, pensions, investment, and insurance clients through enhanced solutions, including our tech-enabled capabilities, and access to global expertise.

“As we reflect on 35 years of continuous growth and development at Barnett Waddingham, we are proud of the heritage and principles that have made us who we are - people-centricity, partnering with clients and the delivery of high-quality services.

“As we join Howden, we look forward to combining our strengths to build something even greater together."

---