Pensions provider Just Group has seen new business sales jump by 41 per cent to £617m over Q1 2018, boosting its share price by 12 per cent on the London Stock Exchange today, 17 May 2018.
Total retirement income sales hit £454m for Q1 2018, 43 per cent up on the same period a year ago. Results were driven by a 99 per cent increase in defined benefit sales, totalling £249m, and an 8 per cent increase in guaranteed income for life sales (GIfL), making £188m.
The group said that the increase in DB sales was mainly due to employee benefit consultants “proactively managing the industry pipeline” and a less seasonal market.
Just Group group chief executive, Rodney Cook, said: “We have taken full advantage of buoyant market conditions to make a strong start to the year, especially in DB. We have maintained our financial discipline and are in a position to price even more selectively over the balance of the year.
“The pipeline remains strong across our main products, particularly in DB de-risking, and we look forward to the remainder of the year.”
According to Just Group, the increase in GIfL sales was largely due to favourable regulatory initiatives which “encourage shopping around”.
Furthermore, the group reported a 42 per cent increase in lifetime mortgage advances, totalling £151m over the first three months of 2018, up from £107m in the same period last year.