Standard Life sees 12% fall in new business here
In Ireland, the Standard Life’s annual premium equivalent, a measure of new business, fell from €44m to €39m.
The value of new and recurring premiums also fell by 12% to €360m.
A spokesperson for Standard Life’s Irish operation said that the fall in business in Ireland was due to the difficult bond market.
“The fall in annual premium equivalent and new and recurring premiums is primarily due to a difficult bond market and having to compete with banks paying high deposit rates,” the spokesperson said.
“However, with downward pressure on deposit rates, we expect this may start to shift. Our Synergy Regular Invest and MyFolio fund launches will help advisers to offer solutions to customers as we believe customers still have to save to meet needs.”
Standard Life Ireland are hoping they can attract more customers by trading on their reputation, which has not been tarnished by the scandals that have hit many of the larger banks.
Standard Life Ireland’s parent company, the Edinburgh-based Standard Life made an operating profit of €384m in the first six months of 2012.
That was up from €333m a year earlier, and well ahead of the €323m expected by analysts.
Standard Life’s improved performance reflected a three-year programme of technology upgrades which helped cut the expenses it incurs when writing new life insurance business by 18%.
