The Barnett Waddingham brand name will disappear within two years following its acquisition by Howden.
This morning global insurance and employee benefits intermediary group Howden announced it has agreed to acquire UK professional services consultancy Barnett Waddingham for an undisclosed sum.
Health & Protection can confirm that while Barnett Waddingham will continue to operate as a separate entity within Howden’s larger employee benefits business, the Barnett Waddingham brand will disappear within two years after a gradual integration of the two businesses.
Health & Protection can also confirm that there will be no redundancies, with the deal considered a “growth play” and “not about cutting costs,” while it will also harness all talent across the two businesses with very little overlap.
The firm’s regional network is also being retained.
Launched in 1989, Barnett Waddingham comprises more than 1,790 people, 99 of whom are partners.
They are based across ten offices nationwide: Amersham, Birmingham, Bristol, Cheltenham, Glasgow, Guildford, Leeds, Liverpool, London, and Manchester.
Founded five years later, Howden is a global insurance intermediary group providing insurance broking, reinsurance broking and underwriting services and solutions to clients ranging from individuals to the largest multinational companies.
The group operates in 55 countries across Europe, Africa, Asia, the Middle East, Latin America, the USA, Australia and New Zealand, employing 20,000 people and handling $44.7bn of premium on behalf of clients.
Post-acquisition, Andrew Vaughan will continue to lead Barnett Waddingham’s next stage of development. He will report into Glenn Thomas, CEO, UK health and employee benefits and global practice leader.
Thomas and Andy Galbraith, who is the UK CFO of Howden UK and Ireland will join BW’s management board which remains responsible for steering the business forward. Helena Morrisey will continue on as non executive and chairwoman of the management board.
Exploring international pensions
In terms of new areas focus for the business, Howden’s immediate priority will be to ensure the smooth transition for both client’s teams but as the integration progresses, the businesses will look for new opportunities to better utilise the two firm’s respective skillsets.
For example, the international pensions market is an area Barnett Waddingham will be keen to explore, Health & Protection understands.
The acquisition will also double Howden’s global employee benefits business in terms of employees, with approximately 4,000 colleagues delivering combined revenue approaching £500m around the world.
Howden said the combined business will offer the full range of 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 to individuals.
10,000 employees in UK
David Howden, CEO of 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.
“Together, we will take a leading position in our home markets of the UK and Ireland in employee benefits as well as in insurance broking.
“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.
“Under Glenn Thomas’ leadership since 2018, our Employee Benefits division has delivered a remarkable 52% compound annual growth rate.
“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.”
Glenn Thomas, CEO of UK health and employee benefits and global practice leader at Howden (pictured), said: “In the global war for talent, companies distinguish themselves with outstanding employee benefits.
“Barnett Waddingham’s extensive pensions expertise, together with Howden’s market leading presence in the health and employee benefits market, creates a full-service proposition and one of the largest pensions and employee benefits consultancies in the UK, with one of the most extensive global footprints in the market.
“The combination brings together two leading businesses with an exceptional cultural fit, and the acquisition reflects Howden’s deep commitment to investing in its employee benefits advisory capabilities.”
Andrew Vaughan, senior partner at Barnett Waddingham, said: “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.“
