Pensions and investment group Aegon has sealed a 15-year contract with Atos to service and administer the accounts of some 1.4 million “non-platform” customers.
Since 2016, Atos has administered Aegon’s 500,000 protection customers and will now take over the firm’s variety of existing business products, many of which stretch back more than 40 years.
Aegon said that the same teams currently supporting the existing business will remain in Edinburgh, and will provide “continuity of service”.
Adrian Grace, chief executive of Edinburgh-based Aegon UK, said: “It’s important that as the financial services market evolves we continue to provide customers with an excellent service, stability and help them achieve a lifetime of financial security.
“Building on our established and already successful relationship with Atos will give continued momentum to our existing business. This is an important step in our strategy and is in the best interests of our customers, employees and shareholders.”
The new agreement is expected to lead to annual savings for Aegon of some £10 million initially, growing to about £30m over time.
Brian Linn, general secretary of trade union Aegis, said: “We are encouraged that Aegon’s review of existing business has resulted in a solution that guarantees the future of the Edinburgh site and provides opportunities for growth with a commitment to no offshoring of jobs.
“Our first impression is this is very positive news for our members regarding their job security and career development. We look forward to working with Aegon and Atos to ensure that our members’ interests are promoted and protected during this consultation period and beyond.”