FTAdviser.com

Advertising

However this was a fall of 2.3 per cent compared with the £25.7m reported for the year ending 30 June 2007.

Despite the small fall in profits the provider reported a 27 per cent increase in equity release mortgage advances growing from £125.2m to £159m in the past year.

Commenting, Mike Fuller, chief executive of Just Retirement, said the firm had demonstrated considerable resilience in a challenging market.

"We have reported solid sales growth in both our core products and we have grown both the value of new business and our EEV underlying operating profit, despite the exceptional economic conditions prevailing throughout our financial year.

"The Group is now firmly established as the second largest provider of equity release and the sixth largest provider of annuities in the UK. By any measure, this is a commendable performance," he said.

Looking ahead, Fuller said the group expects to deliver a value of new business in the current year similar to that just reported, with EEV underlying operating profit likely to benefit from the corporate bond spreads on our ever-increasing assets under management.

"The favourable regulatory environment and strong demographic support give us considerable confidence in the long term prospects for the market as a whole and Just Retirement in particular."