Scottish Widows chief executive Archie Kane says the firm will not get dragged into a “destructive” price war to protect its market share.Widows’ individual pension sales in the first half of this year were slightly down on last year and Kane blames the fall on rivals increasing their commission rates to unsustainable levels purely to increase their market share. Overall, Widows had strong results across the board. Although individual pension sales slipped by 1 per cent from £141m to £139m on an APE basis, overall pension sales rose by 15 per cent from £379m to £434m. This was largely driven by a 54 per cent increase in corporate pension sales from £102m to £157m and helped total life and pension profits increase from £289m to £311m and new business margins rise from 25.8 per cent to 28.8 per cent. Fund sales surged by 153 per cent from £64m to £162m and gross new mortgage lending rose by 11 per cent from £11.8bn to £13bn but this was not sufficient to maintain Widows’ market share, which slipped from 9.4 per cent to 8.1 per cent. Kane says: “Widows has had a very strong year in individual pensions last year but a couple of competitors came back with very high commission rates. “We are not prepared to get into the kind of destruc-tive price war which the industry has engaged in in the past.”
The FSA’s investigations into mortgage lenders’ exit fees is forcing the Financial Ombudsman Service to delay its adjudication decisions on complaints.The watchdog says it is waiting for regulatory guidance before proceeding with complaints and spokeswoman Emma Parker says: “The numbers are still low but we will wait for the FSA in some cases.”The FSA met […]
Allfunds Bank UK director Holly Mackay is leaving the business to pursue other opportunities. Mckay says she intends to stay in the industry and is in discussions with several firms. Allfunds says it will be making a new director-level appointment in due course. Mackay says:”Having now achieved all of our initial targets and goals for […]
Schroders reported group profits before tax of 132.3m for the six months to June 30, up from 123.5m last time.Asset management profits before tax were down slightly to 96.8m compared to 99.8m last year although asset management revenue increased by 21 per cent to 377.3m. The company says the increase was driven by higher margins […]
The total number of estates paying inheritance tax rose by seventy two per cent over the five years to 2003/04 to 30,451 according to Halifax research, based on recently released data from HM Revenue & Customs.
Johnson Fleming’s current charity of the year is CLIC Sargent: the UK’s leading cancer charity for children and young people, and their families.
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