Prudential’s UK life operating profit was 19 per cent higher than the first half of 2014 at £436m, with drawdown sales more than trebling in this period.
Its results for the first six months of 2015 revealed that, following the pension reforms, income drawdown sales reached £39m and individual pension sales more than doubled to £62m, offsetting individual annuity sales which were 56 per cent lower at £28m.
Despite this, the firm’s life annual premium equivalent new business sales increased by 22 per cent over the year. The half year figure for 2014 was £419m, however this year it is £510m.
Alongside this, life insurance new business profits and investment in new business increased from £139m in 2014 to £155m this year.
Onshore bond sales of £122m were also up by 19 per cent and offshore bond sales rose by 22 per cent on the same period last year.
Globally, the operating profits reached £1.9bn, up 17 per cent from last year’s figure, whilst the European embedded value new business profit reached £1.2bn, up 12 per cent.
Mike Wells, group chief executive, said: “Our consistent strategy, rigorous execution and tight focus on the needs of our customers have ensured that we continue to deliver profitable growth and increased cash generation.”
ruth.gillbe@ft.com
