View more on these topics

Pru and AbbeyNat in distribution link-up

Prudential and Abbey National are setting out their stall ahead of depolarisation with a deal to sell each other&#39s products.

Under the agreement, Abbey will initially white-label the Pru with-profits bond until depolarisation, after which it will retain the Pru branding.

The Pru will cease to manufacture protection products and instead white-label Abbey National-owned Scottish Provident&#39s products after depolarisation. The companies have promised each other market-leading commission.

As result of the deal, Abbey National Life has now been closed to new business.

Prudential will allow Abbey to sell a £750m tranche of the Pru bond to 15 million customers through its 756 branches and telephone salesforce.

Pru says the deal builds on current distribution arrangements for the Pru bond with Bradford & Bingley and Woolwich IFA.

Abbey National for Intermediaries director of sales and marketing Ambrose McGinn says: “In a retail bank, people expect to be able to offer other brands too. Now Abbey National can take advantage of the brand strength and manufacturing capacity of the Pru.”

Prudential UK chief executive Mark Wood says: “We are looking to do two or three more such deals. We are gaining market share in the flight to quality. We have anticipated CP121 and see greater market share going to the banks.”

Laird Financial Planning senior partner Steve Laird: “It seems bizarre for Abbey to be marketing the Pru bond rather than its own in-house offering. It suggests it does not like the risks associated with writing with-profits business. It means more confusion for the consumer in the intervening period before the new rules.”


CML seeks easier access to Islamic loans

The Council of Mortgage Lender is calling on the Government to remove barriers to Islamic mortgages. It says although Shari&#39ah-compliant mortgages already exist, legal hurdles make them relatively expensive, but with 3 million UK Muslims, there is a significant potential market for Islamic mortgages. It says members of the working party convened under the Bank […]

New annuity bill predicted

A Conservative MP will table a Private Member&#39s Bill aimed at reforming the annuity regime in the upcoming Parliamentary session, according to Shadow Work and Pensions Secretary David Willetts.If a Tory MP is high enough in the order of private members&#39 business to have a realistic chance of tabling a bill, Willetts predicted there will […]

Jarvis courts IFAs

Jarvis Investment Management has made its multi-fund Isa, freehand, available to the IFA market. It gives investors a choice of around 1,800 onshore Oeics and unit trusts from 149 fund management groups.The fund managers available include Aberdeen, Artemis, Marlborough, Newton, Rathbones, Schroders, Solus and UBS. Jarvis makes an initial charge of 3 per cent and […]

People prefer paradise to a palace as their dream home

Posh and Becks&#39s mansion, labelled Beckingham Palace, has been named one of the UK&#39s most desirable residences in a survey by Abbey National.Its Dream Home survey of 1,000 people carried out last month asked what home people would choose to buy if they won a big jackpot on the lottery.In response, 13 per cent said […]


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