Insurer Standard Life saw shares stride ahead today after announcing a deal that will boost its operating profits by £100m (€135m) this year.

The boss of British life insurer Friends Provident stepped down today following his firm’s failure to complete a £8.6bn (€12.19bn) merger with Resolution.

Renewed hopes of interest rate cuts in the US lent strength to the London market today as the FTSE 100 Index gained more than 1%.

Standard Life’s £4.9bn (€7bn) bid to land insurer Resolution was dealt a major blow today after the firm’s largest shareholder stepped in with a higher offer on a dramatic day in the City.

UK insurer Resolution today tore up its plans for a merger with Friends Provident after agreeing a £4.9bn (€6.9bn) offer from rival Standard Life.

The FTSE 100 Index came within touching distance of a seven-year high today as mining stocks and a strong start to US trading lifted blue chips.

Higher metals prices helped mining stocks lead the London market higher today.

British insurance group Standard Life confirmed today it is looking at gatecrashing the £8bn (€11.4bn) merger of Resolution and Friends Provident.

Life insurer Friends Provident today warned it would take longer than expected to achieve profits targets after a cooling housing market hit its mortgage protection business.

The London market suffered a rollercoaster ride today as turbulence in world markets continued to undermine stocks.

Investors remained on edge today as the FTSE 100 Index continued to fluctuate after its worst session in more than four years yesterday.

Australian financial services group AMP today said it remained on target to demerge its loss-making UK business by the end of this year.