Standard Life has again cut its bonuses, reducing payouts by an average of 6 per cent.
This means a £50 a month 25-year with-profits endowment policy, is now worth £69,386 down from £75, 984. This represents an annual return of 10.7 per cent on total premiums of £15,000. There is to be no change to annual bonus rates.
The Edinburgh-based insurer also announced that the surrender value reductions on conventional life policies has dropped to 8 per cent from 15 per cent, and on pensions to 16 per cent from 25 per cent.