View more on these topics

Norwich Union to buy London & Edinburgh for £315m

Norwich Union is to buy London & Edinburgh for £315m in a bid to become the UK&#39s biggest general insurer in the intermediary market.


The takeover will create the third biggest general insurer in the IFA market. But Norwich Union aims to become the top player within five years.


The London & Edinburgh name is expected to be ditched when the general and life insurance arms are merged into Norwich Union in late 1998.


In 1997 London & Edinburgh&#39s general insurance arm wrote net premiums of £673m. Its life business, which writes accident, sickness and unemployment cover, wrote net premiums of £82m in 1997.


The deal will lead to cost savings of £30m a year from 2000. But this will cost Norwich Union a one-off hit of £35m.


The majority of the cost savings will come from job losses and a restructure of London & Edinburgh&#39s branch network. Savings are also expected to come from an integration of IT systems.


Norwich Union press officer Liz Maw says: &#34This will give us a significant presence in the UK. It is our intention to be a major player in the market and this deal fits our objective.&#34

Recommended

ACCA opposes reform proposals for final salary scheme accounting

The Association of Chartered Certified Accountants has dismissed some of the proposed reforms to final salary pension scheme accounting principles as unnecessary.ACCA expressed surprise that an Accountancy Standards Board discussion paper put forward the &#39immediate recognition option&#39 in the critical area of actuarial gains and losses.ACCA believes that gains and losses should be spread throughout […]

ACCA opposes reform proposals for final salary scheme accounting

The Association of Chartered Certified Accountants has dismissed some of the proposed reforms to final salary pension scheme accounting principles as unnecessary.ACCA expressed surprise that an Accountancy Standards Board discussion paper put forward the &#39immediate recognition option&#39 in the critical area of actuarial gains and losses.ACCA believes that gains and losses should be spread throughout […]

Royal London reveals obstacles to saving

Despite Government encouragement only ten per cent of people are making provision for their financial future according to a survey by Royal London Insurance.The survey finds that 48 per cent do not earn enough money, 20 per cent have too high lifestyle costs or too much debt, ten per cent are confused by products available […]

NOP finds nearly half will rely on state pension

A staggering 46 per cent of people plan to rely on the state pension in retirement despite Government attempts to encourage people to plan for old age.A survey by NOP for Standard Life asked 635 people nationwide if they had a pension and why they do not save more for retirement.It reveals 46 per cent […]

Budget summary – March 2016

This week’s Budget looked as if it would be a difficult one for the Chancellor, with disappointing economic numbers and the need to avoid ruffling feathers ahead of June’s in/out referendum. Nevertheless, Mr Osborne did spring a few surprises, including some tax reductions. So how does this budget affect you? If you are – or […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment