A decline in members transferring out of their defined benefit plan has hit the life and pensions business of LV=.

In the first half of 2019 the company saw profits of £18m for its Life and Pensions division compared to profits of £27m from the same six months in 2018.

LV= noted that this trend has been noted in its overall new business sales of £710m, compared to £970m in the half year 2018 resutls. Retirement sales were £560m, down from £818m on the same period last year.

However, it has seen growth in its Protected Retirement Plan Annuity product as the market continues to respond well to its enhanced rates introduced last year.

LV= group chief executive Richard Rowney, said: “Trading conditions for Life & Pensions remain tough and while the protection market is growing steadily, investment and pensions markets are down sharply driven by investor uncertainty and the continued decline in defined benefit to defined contribution transfers.”

Despite these results Rowney said the appointment of Clive Bolton to lead the Savings & Retirement business this year, reflected the increased focus of LV= on pensions. Bolton was previously managing director of retirement solutions at Aviva Life UK.

Rowney said: “By the end of 2019 we will have completed our transition to a pure Life & Pensions provider with a clear focus on the low risk, advice led, mass affluent market.”

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