Standard Life sales up 79% in Irish operations

SALES AT Standard Life’s Irish operations rose by 79 per cent in the first quarter of 2010, the group said.

The company said a strong start to the year saw sales for the three months reach £455 million (€513.3 million) for its two businesses in Ireland, Standard Life International, which sells products predominantly to UK investors, and the domestic business, Standard Life Ireland. Sales at Standard Life International rose by 93 per cent to £267 million as it developed new distribution channels. The domestic business recorded a sales increase of 62 per cent, to £188 million.

“We have had a strong start to the year despite challenging market conditions,” said Standard Life’s chief executive Nigel Dunne.

He said a number of factors produced a “multiplier-effect” in increasing sales for the first three months, including rising sales of single premium investment bonds, a move to more secure investment and pension decisions, and good investment performance by Standard Life Investments across group pension managed, equity, fixed interest and absolute return fund categories.

The company said it was concerned about potential changes in tax relief that would make pensions less attractive.

Mr Dunne said a proposal for a 0.5 per cent levy on pension funds could be substantially reduced if spread across all savings and investments, including bank deposits. “It doesn’t make sense to impose a higher tax on pensions where saving levels are woefully inadequate,” he said.