Royal Bank of Scotland to close half of its insurance offices
In a rather disappointing and surprise move it has been announced that Royal Bank of Scotland will be closing half of its insurance offices with Glasgow, Peterborough and Bristol earmarked for closure. This will result in well over 1000 jobs being lost amid signs that the company is looking to trim down its insurance operations, which include Churchill and Direct Line, ahead of a forced sale by the European Commission.
The company has already tried unsuccessfully to auction the two main insurance divisions although due to the fact that the UK government stepped forward with significant taxpayer backing it is now being forced to push these two operations towards new owners. When you consider that Churchill and Direct Line have been two of the most successful subsidiaries of Royal Bank of Scotland it seems rather bizarre that the company is being forced to sell the crown jewels to pay down debt and abide by EU state funding regulations.
There will no doubt be a number of competitors already looking over the books of these two operations which are two of the best known in the UK and two of the most successful.
AXA rewards safe motorists
Financial giant AXA has revealed a new car insurance policy which will see those with eight or more years no claims bonus receiving a 90% discount on their premiums. This compares to the average discount of 65% on a maximum five-year no claims bonus and will obviously further benefit the vast majority of drivers in the UK who do not claim on their car insurance. This comes at a time when the AA...Read More
UK government criticised over Equitable Life
The UK government has come under fierce criticism with regards to the Equitable Life saga which the High Court now believes was the subject of inadequate regulatory oversight for more than 10 years. Equitable Life was forced to close its doors to new business back in 2000 after it was revealed that the company was unable to pay out on guaranteed annuities which had been written many years before.<...Read More
Santander announces agreement with Aviva
Spanish financial giant Santander, the owner of UK assets such as Abbey, Alliance and Leicester and parts of Bradford and Bingley, has today announced an exclusive five-year deal with UK insurance giant Aviva. The agreement sees Santander enter into an exclusive deal which will see the company sell Aviva life insurance through its 1300 UK branches. This is not the first deal between Santander a...Read More
UK banks challenge PPI rules
The UK banking community, backed by the British Bankers Association, has applied to the High Court for a judicial review of the PPI rules, which were set to come in on 1 December. These are rules produced by the FSA (Financial Services Authority) in relation to payment protection insurance and more importantly an industry wide review of past arrangements even if there has been no complaint from th...Read More
Financial Ombudsman reports record number of complaints
Complaints to financial institutions rose to the highest recorded level over the course of the last year, after a 92pc rise on the previous year. The Financial Ombudsman Service (FOS) reported that claims for the mis-selling of payment protection insurance (PPI) accounted for the vast majority of the complaints, a total of 74pc. However there were rises in complaints in most areas, and more rec...Read More