Aegon UK saw a 15 per cent increase in underlying earnings before tax for the third quarter, from £20m to £23m, as the firm was boosted by positive equity markets.
Aegon’s life business declined 11 per cent, from £19m in Q3 2012 to £17m for the same period this year, while pensions earnings grew three-fold from £2m to £6m. The results for distribution arm Origen are now included as part of the insurer’s pensions figures.
Earnings were hit by the costs of its new non-advised platform functionality for advisers as well as £4m of costs attributed to poor persistency levels.
The firm recorded a one-off £79m boost to net income due to a corporate tax rate reduction. Overall net income was £88m, compared to £30m for the same period in 2012, which includes £8m of restructuring costs.
Aegon UK chief executive Adrian Grace says: “We are now seeing the strategy we have put in place beginning to pay off and we still have a lot more of our proposition to roll out early next year. We look forward to working with advisers to help them service all of their clients in a post RDR world.”