Standard Life has increased payouts for with-profits life and pensions policies. Real returns to Standard Life policyholders, have increased over last year's levels. Personal pension policyholders benefited from returns of 13.5 per cent and 16.4 per cent on sample 10 and 20-year policies.

Allowing for inflation, the real returns are 11.4 per cent and 13 per cent per year respectively. The corresponding real returns for 1998 were 10 and 12.5 per cent per year. These are based on a male retiring at age 65 on February 1st paying £1,000 (€1,269) a year.

Life policies also performed well with a sample 10-year policy showing a total return of 11.9 per cent a year or a 9.7 per cent real rate of return. A 25-year policy is showing a yield of 14.9 per cent, a real return of 10.1 per cent after inflation. Both sample policy rates are up from 9.1 per cent in 1998. These figures are based on a male aged 30 next birthday, paying £50 per month and maturing on February 1st.