Lloyds bank set to disinvest stake in esure
Lloyds bank has today revealed plans to sell off its 70% stake in esure at a price which is believed to be in excess of the current book value of £185 million. It is believed that Peter Woods, co-founder and chairman of esure, is to acquire the stake via a new holding company. Those who follow the insurance market may be aware that Peter Woods, originally famed because of his Direct Line insurance creation, set up the esure business with HBOS back in 2001.
However, since HBOS became part of the Lloyds bank group there has been friction between Peter Woods and the Lloyds bank management and the sale of the Lloyds bank stake was expected by many. Esure is a well-known insurance brand in the UK and is also the owner of the infamous Sheilas Wheels brand with its array of striking adverts on the TV.
The company specialises in various niche markets and has made an excellent name for itself with profits topping £38 million in 2008. Quite what Peter Woods has in store for the future remains to be seen but he appears relieved to be on the verge of taking total control of his "baby".
BCC demands increase in VAT not national insurance
The British Chamber of Commerce (BCC) has today pleaded with the UK government to increase VAT to 18.5% instead of increasing the rate of national insurance contributions. Figures from the BCC suggest that the scrapping of next year's national insurance contribution increase would benefit businesses by £5.1 billion while an increase of just 1% in the rate of VAT would bring in around £4.5 billio...Read More
When a cash fund is not actually a cash fund!
The Association of British insurers, one of the more powerful investment associations in the UK, is to launch a thorough investigation into cash funds after standard life was forced to pay compensation when its cash fund fell in value. The investigation will centre on money market instruments such as bonds and short-term deposits, many of which have gone "bad" as a consequence of the economic down...Read More
Legal action launched over air passenger duty
Tour operators have launched "substantial" legal action over the government's air passenger duty (APD), claiming that the levy breaches international aviation agreements.APD, which ranges between £10 for European economy flights to £80 for business class long-haul flights, was doubled earlier this month following an announcement made in the chancellor Gordon Brown's pre-Budget report last Decemb...Read More
Convertible term assurance policies are similar to term assurance policies, as they have a known level of cover that will pay out in the event of death within a set time. However they also come with the option to "convert". This conversion option allows you to adapt your plan if your circumstances change. You can convert it to either an endowment assurance policy (provides a cash benefit when...Read More
Does Insurance Against Accident, Sickness And Redundancy Pay?
The last few weeks have seen a substantial rise in the number of the UK population looking towards some form of personal cover for accidents, sickness and redundancy with many fearing the worst in the weeks and months ahead. But do these policies really pay and are there any catches?
On the surface it seems very sensible for someone to put themselves and their family's financial se...