View more on these topics

Pru could quit UK over Solvency II


Prudential is weighing up moving its headquarters away from London because of new European Union capital rules.

The UK’s largest insurer is understood to have first drawn up plans to move its global base from the UK to Asia three years ago.

The Sunday Times reports a move, probably to Hong Kong or Singapore, is now being considered again. It is believed Prudential would either sell its UK businesses or list them as a separate company.

The newspaper says the trigger is Solvency II rules which, once implemented in January, will require all European insurers to hold far greater capital reserves.

The insurer is the latest financial institution to consider moving abroad because of the pressures of regulation.

In May, HSBC signalled it might migrate away from the UK because of plans to separate retail and investment banking.

Under the reforms recommended by Sir John Vickers following the financial crisis, retail banking must be conducted by standalone companies by 2019.

Prudential’s latest annual report warned Solvency II would deliver a £1.9bn hit to its Asian business.

In 2012, then chief executive Tidjane Thiam said the new capital requirements would force the firm to sell £11bn of investments in UK infrastructure.

Prudential declined to comment.


Lord Adair Turner 480

Former FSA chairman Lord Turner joins Pru board

Prudential has appointed a former chairman of the Financial Services Authority as a non-executive director. Lord Adair Turner will join the business with immediate effect, serving as a member of the firm’s risk committee. He will be joined by the former leader of PWC’s global insurance practice, David Law, who will sit on the audit […]


Prudential reshuffles multi-asset range

Prudential has launched three multi-asset funds to add to its actively managed Dynamic Focused Portfolio range. The Dynamic Focused Portfolios will be formed of five low-cost products as the firm adds three new funds, joining the existing Managed Defensive and Cautious Managed Growth funds in the range. These existing funds have been renamed to fit the […]

Prudential 480

Prudential plans non-advised drawdown launch

Prudential is to enter the non-advised drawdown market this autumn, Money Marketing understands. To date the firm is one of several providers who decided not to allow customers to open drawdown policies without an adviser. In July Money Marketing revealed how providers were offering the pension freedoms to customers. Legal & General opted out for […]


Pru UK profits climb 19% as M&G hit by fixed income slump

Prudential has recorded a 19 per cent increase in UK profits for the first half of the year despite tumbling annuity sales and outflows for M&G hitting £3.4bn. Overall pre-tax profits increased from £1.4bn to £1.9bn. The insurer’s UK life business recorded an operating profit of £436m, up from a restated figure of £366m, which […]

Flexible reversionary trusts and estate planning

The suitability of different estate planning solutions will depend on the individual’s own circumstances, needs and objectives. When considering the different solutions available there is a trade-off between inheritance tax (IHT) efficiency and access. Overall a flexible reversionary trust provides a greater level of flexibility than a discounted gift trust and can offer individuals a […]


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