Mutual LV= has reported strong annuity sales for the second quarter of the year despite the sweeping changes to retirement income announced in the 2014 Budget.
The insurer said life business sales were up £80m compared to this time last year, though it added annuity contracts were being written at lower margins. Group CEO Mike Rogers said the business had initially expected annuity sales to be “significantly lower” after the Budget announcement. He said the sales figures reflected the firm’s launch of a one year fixed annuity and its simplified drawdown product. Beating expectations Roger’s added: “We initially expected annuity sales to be significantly down but sales have held up well and are up over 30% year-on-year albeit at lower...
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