View more on these topics

‘A&L cannot grow without outside investment’

Alliance & Leicester needs to be sold if it is to achieve further growth, say leading mortgage brokers.

The lender has been linked with takeover bids by Spain’s Banco Santander and French finance house Credit Agricole, which last week admitted an interest in A&L.

Brokers believe that A&L has reached the peak of its growth potential under its current model and now needs further investment to challenge the lending giants such as HBOS.

Purely Mortgages chief executive Mark Chilton expects more banks will take an interest in A&L although he thinks any bids will come from abroad.

Chilton says: “A&L took the mortgage market by storm last year. It is efficient, well run and is the sort firm I would look for if I was a foreign bank. You would never have thought of it as a serious entity a few years ago but, because it does not have the size to compete with HBOS, it has made itself an attractive bid target.”

A&L, which is not commenting on the speculation other than to acknowledge CA’s interest, has announced plans to move into the sub-prime, self-cert and buy-to-let markets later this year, funded by an unnamed investment bank but branded A&L.

Alexander Hall chief operating officer Andy Pratt says: “A&L could challenge HBOS but it would need some serious investment. It has grown to a level which is probably as far as it can get to.”


Towry Law sells GI and healthcare arms

Towry Law JS&P Group has sold its general insurance and healthcare arm, Towry Law Insurance Brokers to Broker Network Holdings and a consortium of TLIB directors for £12.5m.Towry Law JS&P Group says the GI arm is not core to its business model and says it will now focus on offering independent financial and wealth management […]

Wraps to put price pressure on bonds

Investment bond charges will fall as a result of competition in the wrap market, according to research firm Defaqto. The consultancy argues that wraps will bring downward pressure on bond charges because most wraps have clean structures. This is because they do not generally support indemnity commission and because advisers set charges. It says the […]

Ehrmann leaves Gartmore

Senior fund manager Philip Ehrmann has left Gartmore days after the purchase of the group by private equity firm Hellman and Friedman.Ehrmann managed Gartmore’s China opportunities, Pacific opportunities and emerging markets opportunities funds. Jon Thornton and one other senior fund manager are also leaving as a result of a reorganisation of the business following the […]

This week in Pensions

What a week for pensions. Not even pictures of John Prescott playing croquet in the garden of his grace and favour home could stop pensions stories from getting top billing in the papers last week.

A DGT with 100% access and 100% discount?

Clare Moffat, Technical Manager, looks at the benefits of pensions from an IHT perspective. 100% access and 100% discount – what type of wrapper could this be? A pension! Post flexibility there is 100% access (for those over 55) and normally pensions are inheritance tax (IHT) free. With flexibility the options available on death mean […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm