Prudential's drawdown sales treble in H1

Excluding the impact of individual annuities, retail sales were 45% higher than in 2014, and total sales rose 22% in the first half of 2015 to £510 million.

Prudential also completed two bulk annuity deals in the first half of 2015, generating £117 million of sales and £75 million of new business profit compared to four bulk annuity deals over the same period last year which generated sales of £104 million and new business profit of £69 million.

UK life operating profit was up 19% to £436 million, and as a Group operating profits rose 17% to £1,881 million.

Commenting on the results, Mike Wells, Group Chief Executive, said:

“We have delivered a strong, broad-based performance in the first half of 2015. Our consistent strategy, rigorous execution and tight focus on the needs of our customers have ensured that we continue to deliver profitable growth and increased cash generation.

“Our UK life business delivered a strong performance amid an unprecedented level of regulatory change affecting how customers access their savings in retirement. Prudential delivered a 25 per cent increase in retail APE sales to £393 million, despite lower sales of retail annuities. This volume growth, together with the completion of two attractively priced bulk deals in the first half of the year, resulted in a 12 per cent increase in total new business profit. Life IFRS operating profit of £436 million was up 19 per cent, reflecting ongoing active management to unlock value in our in-force business."