Sunday 25 August 2019

Surge in business at Royal London's Irish arm

Appointment: Irishman Barry O’Dwyer is taking over as CEO
Appointment: Irishman Barry O’Dwyer is taking over as CEO
John Mulligan

John Mulligan

Royal London, the UK insurance and investment group that moved £1bn (€1.08bn) of assets to Ireland earlier this year in advance of Brexit, has said its business here performed strongly in the first half of the year.

Its new business sales in Ireland for policies such as mortgage protection jumped 40pc to £67m.

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That helped it to secure a 21pc share of the protection policy business in Ireland during the first quarter.

"There was stronger trading performance across all products, especially in our mortgage protection and term assurance offerings," it added.

Chairman Kevin Parry said that Royal London had made "excellent progress" in the Irish market.

Royal London's assets under management reached a record level of £130bn at the end of June, which was up from €114bn at the end of December last year.

It said that the increase was due to market gains of £10.5bn, as well as net inflows of £5.5bn in the first half of the year.

Royal London is the UK's largest mutual life and pensions company.

In June, it announced that Irishman Barry O'Dwyer will take over as chief executive of the group from September.

It secured court permission in February to move assets to Ireland as the then-March Brexit date loomed. It was done to ensure that European Economic Area policyholders can still be serviced after the UK leaves the EU.

About 500,000 policies were transferred to Ireland, as well as 1,300 bonds that were sold in Germany under the Scottish Life International brand.

The more than £21m cost of the move was split between two main funds.

"Royal London is well prepared for Brexit and will continue to monitor carefully any developments that might affect our business and customers," said Mr Parry.

Irish Independent

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