View more on these topics

Profits slide at Widows

Scottish Widows&#39 financial performance helped cast a sha-dow over Lloyds TSB&#39s interim results, with the subsidiary&#39s profits dropping £114m to £194m.

Scottish Widows Investment Partnership added to the woes with a loss of £1m from a £6m profit at the same time last year.

The results show that Scottish Widows&#39 profits dropped to £194m from £308m, with the now closed Abbey Life achieving £41m down from £57m.

Lloyds reports that profits from its insurance and investment businesses were down by £268m to £489m from £757m but this figures includes £100m set aside for customer redress.

Overall, Lloyds reported a 18 per cent drop in profits to £1.6bn from £2bn before economic and investment considerations were taken into account. The bank has also had to allow £300m as a group for endowment and bonds misselling.

The results have fuelled market speculation that Lloyds may cut Widows loose or that chief executive Mike Ross may step down, both of which have been vigorously denied by the bank and the insurer.

Wentworth Rose managing director Philip Rose says: “Scottish Widows in particular seems to have lost its way somewhat. Since being bought by Lloyds TSB, it has not really seemed to be that clear on its commitment to IFAs and the main financial services market and its results rep-resent that.

“The question is whether Lloyds will decide to revitalise it or decide that the insurance industry is having such a bad time and let Scottish Widows go.”


Online service for human resources

IFA network Group 300 is offering an internet-based tool to help advisers with their human resources&#39 responsibilities.The Evolution 300 package allows IFAs to manage their HR requirements by enabling them to maintain employee records and audit trails online. It can be used to create terms and conditions contracts, letters, health and safety documents and staff […]

New Standard WP bonus cuts

•Standard Life announced another round of with-profits bonus rate cuts, reducing payouts by an average of 6 per cent.This means that a £50 a month 25-year with-profits endowment policy is now worth £69,386 down from £75,984, an annual return of 10.7 per cent on total premiums of £15,000. There is to be no change to […]

Pension trustees calling for more training – F&C

Training is the most important issue facing trustees and pension fund representatives, while compulsory membership is the least important, according to a survey by F&C Management.The F&C survey found nine out of 10 trustees said they had already undergone training of some kind, with half of all trustees had been trained by an investment or […]

Stand up and be counted on PI

I note with interest that some of the letters you are printing in your paper on PI and other regulatory subjects are becoming anonymous as far as the authors are concerned, presumably on the grounds of fear of retribution. This matter is far too serious for those with a grievance to remain anonymous.From what I […]


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