UK Insurer Aviva Profits Up 29% In 2005, 9% Increase In Dividends

Aviva plc, the UK savings, investments and insurance group, reported a 2,904 million profit for the year, up 29% from last year. The insurer raised dividends by 9%, and long term savings with a life operating profit of 1,814 million,

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Aviva plc, the UK savings, investments and insurance group, reported a 2,904 million profit for the year, up 29% from last year.

The insurer raised dividends by 9%, and long-term savings with a life operating profit of 1,814 million, an 11% rise. The general insurance and health profit was up 22% to 1,551 million. Fund management profit more than doubled to 92 million, from 40 million in 2004.

“We’ve delivered a strong life result as profits continue to grow faster than sales,” said Richard Harvey, group chief executive. “We made real progress in continental Europe where our long-term savings businesses performed well and we’ve gained good ground in the developing markets of Asia. Our banc assurance expertise has been a major factor in our progress in the UK, continental Europe and Asia.”

He added that the company has been able to “increase our dividend, moving above the rigid 5% dividend growth target that we set in 2002, and at the same time we are announcing plans to pay 700 million into our UK pension schemes.”

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