View more on these topics

Bond sales fall by a quarter

The Association of British Insurers is blaming a combination of poor economic conditions and changes to capital gains tax for falling investment bond business in the second quarter of 2008.

It says single-premium investment bond sales were down by 26 per cent to £6.86bn in Q2 compared with the same period last year.

Spokesman Jon French says: “To a certain extent, the data reflects conditions in the overall economy. Bond sales have suffered for a variety of reasons, including the changes to the capital gains tax regime.”

Regular-premium protection business in Q2 rose by 13.6 per to £1.59bn compared with £1.42bn in Q2 2007 but single-premium protection business dipped by 9.5 per cent to £18.73bn from £20.7bn.

New regular-premium individual pension new business increased by 12.5 per cent to £976m from £868m while new single-premium individual pension business was down by 11.2 per cent to £5.99bn from £6.75bn.

CBK Colchester principal Peter Chadborn says: “Single-premium protection business is very rare, so a drop is neither here nor there but a rise in regular-premium business is encouraging.

“However, whenever any increase in business levels are being reported, how much of that is new business and how much is rebroked business?”

Recommended

Incoming B&B chief will review GMAC loan deal

Newly appointed Bradford & Bingley chief executive Richard Pym has the task of stabilising the lender as it tries to regain ground in the wake of the credit crunch.Pym, who retired as Alliance & Leicester group chief executive in July 2007, says he will pay special attention to B&B’s deal with GMAC for its books […]

Met Police deal for Affinity

The Metropolitan Police Authority has appointed Affinity Connect to provide retirement and resettlement courses and independent advice to its staff for the next five years.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    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

    Email: customerservices@moneymarketing.com