Aviva rejects approach from RSA
It has today been revealed by Sky news that UK insurance companies Aviva and RSA have been in communication regarding a potential sale of the Aviva general insurance division. It is believed that RSA made an offer of around £5 billion for the operation which was immediately rebuffed by Aviva. It is not clear why the approach was not publicised at the time, reported to have been last month, but the news has most certainly shaken up the UK insurance sector.
While there has been no further communication between the two parties since the initial approach it is believed that RSA may well come back with a higher offer which Aviva may well have to consider "in public". There have been many rumours and counter rumours within the UK insurance sector for some time now and many believe it is inevitable there will be an exchange of assets between various UK operations. Indeed the Prudential was itself recently the subject of takeover rumours after the company's failed bid for AIG's Far East operation.
At a time when takeovers and mergers in the UK are few and far between, all eyes will be on the insurance sector awaiting further news and further developments.
Barclays bank challenges PPI ban
It has been revealed that Barclays bank, along with Lloyds bank, is set to challenge the UK government's controversial decision to ban the sale of payment protection insurance when credit arrangements are agreed. The ban, which will come into force in October 2010, will see a cooling off period of seven days before any credit provider can approach a customer regarding the sale of payment protectio...Read More
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 insuranc...Read More
What have the government got to hide about Equitable Life?
Despite the government wheeling out a statement suggesting that many of those customers who lost money in Equitable Life will receive compensation in the years to come, Ann Abraham of the Parliamentary ombudsman has hit out at the government's interpretation of her report. The report into the Equitable Life saga was deeply critical of the UK government and the regulatory regime created to look aft...Read More
Two million offered credit card insurance compensation
27/01/2015 Two million customers will be offered compensation from their banks for being sold insurance policies they didn’t need, covering the loss or theft of their bank cards. Banks and credit card issuers have been told by the Financial Conduct Authority (FCA) that they must send a letter to customers who were affected, asking them if they would like compensation. These letters will b...Read More
What is happening with the asset protection scheme?
Each day brings new rumours regarding Royal Bank of Scotland and Lloyds bank and the company's involvement in the UK government's asset protection scheme. First we hear that both companies are very keen to become involved and then we hear they're looking to backtrack and either reduce their exposure or leave the scheme altogether. So what exactly is going on?
When the UK government...