View more on these topics

Scottish Legal Life closes to new business

Scottish Legal Life has closed its doors to new business.

The Glasgow-based friendly society, which has 175,000 members, had been undertaking a major strategic review.

It had already cut operating costs by axing its direct salesforce last year.

But the firm says the high costs of writing new business and the burden of regulation meant it was forced into the decision to cease to write new business.

It says the costs were proving to be too much of a drain on members&#39 res-ources. The society will now introduce a “radical restructuring” to reduce its costs.

The closure is likely to reignite the debate on the future of smaller friendly societies. The society says the move will result in redundancies among its 150 staff.

Chief executive Gerry Kay says: “We are a small player in the market and our strategic review recognised that the difficulties of achieving economies of scale in a high regulatory environment meant that the status quo was not an option and it was better to act sooner rather than later.

“Major progress has been achieved in cutting costs and restructuring the organisation.

“Financially, Scottish Legal Life is in an extremely healthy position, and our overriding priority has always been to protect the interests of our members.”


France accused of obstructing foreign insurers

The European Commission is taking France to court for the second time and seeking daily penalties of £150,000 for non-compliance with EU law on the regulation of life insurance companies.The EU believes that France&#39s actions are discriminatory and run counter to the single market by favouring France&#39s mutuals and stopping other insurance companies from accessing […]

New Star International creates Oeic

New Star International has established global investment funds, a Dublin-based Oeic, which consists of six actively managed funds.The Oeic aims for capital growth and spans the globe by offering New Star Asian opportunities, New Star European growth, New Star global emerging markets, New Star Japan recovery, New Star UK dynamic and New Star US opportunities […]

Correspondent&#39s week

It is not every week you launch a new life company and anyone who thinks it is easy should see the blood, sweat and tears (almost) shed by the Selestia team.This week is a big one for us as we are indeed launching our life company and it has been a long and arduous process. […]

ABN and Framlington in legal wrangle over fund managers

ABN Amro and Framlington have become embroiled in a bitter legal wrangle over the departure of star fund managers George Luckraft and Nigel Thomas.The legal dispute arose after former ABN stars Luck-raft and Thomas walked out last week, claiming that actions taken by ABN since their resignations had caused an irreconcilable breakdown in their relationship […]


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 thought leadership.

    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