Tuesday 19 March 2019

Aviva gets OK to shift €10bn to Ireland

On the go: Aviva is shifting billions of assets out of the UK
On the go: Aviva is shifting billions of assets out of the UK

Huw Jones, Simon Jessop, and Carolyn Cohn

England's High Court has given Aviva, the UK's second-largest insurer, approval to transfer around £9bn (€10.35bn) in assets to a new Irish company ahead of Brexit.

The transfer is timed for 22.59 GMT on March 29. Brexit formally takes effect at 23.00pm that night. It is part of a wider withdrawal of business and money by financial companies seeking to keep contracts and policies within the EU after Britain departs.

Banks and insurers are shifting hundreds of billions in assets and reversing decades of European financial market integration and chipping away at London's dominant role.

London's High Court approved Aviva's transfer after a hearing last week to move life insurance assets. It previously secured approval to move £1bn in general insurance assets.

"The current state of extreme and intensifying uncertainty regarding the terms of United Kingdom's departure from the European Union renders the need for certainty of provision all the more pressing," Martin Moore, Aviva's counsel, told the court.

Reuters

Irish Independent

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