Menu
23/06/2003
AMP closes UK pensions unit and axes 900 jobs
Hopes of a rescue for struggling National Provident Institution, part of the Australian AMP group, sank today as the financial services outfit closed the doors to its remaining UK pension unit.
The surprise closure announcement will mean the loss of around 900 jobs at the division’s offices in Peterborough and Tunbridge Wells.
The move sees all the Sydney-based groups British interests closed and the funds placed under the wing of a single manager.
Originally analysts had expected the UK division to be demerged, but after testing market disinterest AMP was left with no other option but to settle for a multi-billion dollar writedown and axe the ailing British division.
It is thought that the UK division holds around 85,000 policies in unit-linked investments and a variety of pension products.
Chief Executive Andrew Mohl said that the option to retain the NPI portfolio but to close out new sales was the best one for both the UK policy and shareholders.
Lack of interest in the UK businesses of AMP led to a situation where the British assets were being massively written down to a level far below their inherent value.
The concern now is that with no new investment funds forthcoming, the strategy, which has been adopted across AMP’s British businesses including Pearl and London Life may fail as capital is extracted to support ongoing policies.
(SP)
The surprise closure announcement will mean the loss of around 900 jobs at the division’s offices in Peterborough and Tunbridge Wells.
The move sees all the Sydney-based groups British interests closed and the funds placed under the wing of a single manager.
Originally analysts had expected the UK division to be demerged, but after testing market disinterest AMP was left with no other option but to settle for a multi-billion dollar writedown and axe the ailing British division.
It is thought that the UK division holds around 85,000 policies in unit-linked investments and a variety of pension products.
Chief Executive Andrew Mohl said that the option to retain the NPI portfolio but to close out new sales was the best one for both the UK policy and shareholders.
Lack of interest in the UK businesses of AMP led to a situation where the British assets were being massively written down to a level far below their inherent value.
The concern now is that with no new investment funds forthcoming, the strategy, which has been adopted across AMP’s British businesses including Pearl and London Life may fail as capital is extracted to support ongoing policies.
(SP)
Related UK National News Stories
Click here for the latest headlines.
09 March 2011
Major UK Studios Fund British Films
Film and Television Studios Group Pinewood Shepperton have announced plans to provide funding for smaller British film productions.
Major UK Studios Fund British Films
Film and Television Studios Group Pinewood Shepperton have announced plans to provide funding for smaller British film productions.
10 September 2007
Brown To Unveil Plan To Create 500,000 Jobs
Prime Minister Gordon Brown is set to unveil plans to create half a million new jobs in an effort to have "A British job for every British worker.
Brown To Unveil Plan To Create 500,000 Jobs
Prime Minister Gordon Brown is set to unveil plans to create half a million new jobs in an effort to have "A British job for every British worker.
13 August 2003
BA suspends flights to Saudi Arabia over 'security concerns'
British Airways has announced that it is to suspend all flights to Saudi Arabia "due to heightened security concerns in the region". BA said that it would suspend flights until further notice follows discussions earlier today between the airline and the British government's Department for Transport.
BA suspends flights to Saudi Arabia over 'security concerns'
British Airways has announced that it is to suspend all flights to Saudi Arabia "due to heightened security concerns in the region". BA said that it would suspend flights until further notice follows discussions earlier today between the airline and the British government's Department for Transport.
17 June 2014
British Social Attitudes Report: 'True British' Must Speak English
The 31st NatCen Social Research British Social Attitudes survey of 3,000 people shows UK citizens have harder attitudes over immigration, welfare or the requirements which make a person British. 95% of them found that it is important to speak English to be "truly" British, up from a 86% in 2003.
British Social Attitudes Report: 'True British' Must Speak English
The 31st NatCen Social Research British Social Attitudes survey of 3,000 people shows UK citizens have harder attitudes over immigration, welfare or the requirements which make a person British. 95% of them found that it is important to speak English to be "truly" British, up from a 86% in 2003.
05 April 2007
British naval crew return to the UK
Fifteen British sailors and marines held captive in Iran have returned to Britain. The group travelled back to Britain from Iran on a British Airways flight which touched down at Heathrow shortly after midday on Thursday.
British naval crew return to the UK
Fifteen British sailors and marines held captive in Iran have returned to Britain. The group travelled back to Britain from Iran on a British Airways flight which touched down at Heathrow shortly after midday on Thursday.
-
Northern Ireland WeatherThis Evening and Tonight:Another cloudy and mild night with the odd spot of light drizzle. More widespread outbreaks of rain will spread southeast into western parts of Tyrone, Fermanagh and Derry late in the night. Minimum temperature 8 °C.
