Latest news with #DirectLine
Yahoo
2 days ago
- Business
- Yahoo
Aviva to accelerate growth with landmark acquisition of Direct Line
Aviva's £3.7bn acquisition of Direct Line is set to finalise in July 2025 and the combined group is expected to become a major force in the UK's general insurance sector as per GlobalData's analytics. Aviva is willing to take a risk and proceed with the deal ahead of receiving Competition and Markets Authority (CMA) clearance. Aviva is the largest general insurance player in the UK; accounting for 9.7% of GWP in 2023 as per GlobalData's UK Top 25 General Insurance Competitor Analytics. Aviva has a healthy lead over Allianz and AXA; the joint-second-largest players which each control 7.6% of the market. Aviva's position as the leading player will strengthen significantly upon the acquisition of Direct Line, with the combined group potentially almost doubling the joint-second-largest player's market share (14.4%). In particular, the greatest advancements will be in the motor insurance space, where Aviva could end up controlling roughly a fifth of the market (19.6%). It would also command a significant share of the total UK property insurance market (17.3%). Aviva's acquisition of Direct Line is a significant event for the UK general insurance market and it is now approaching its final stages. The proposed acquisition has so far gotten regulatory approvals by both the Financial Conduct Authority (FCA) and the Prudential Regulatory Authority (PRA) and is now pending clearance from the CMA. The finalisation of the deal is expected around 1 July 2025, following a High Court Sanction hearing; given that Aviva has waived CMA clearance. With Aviva expressing confidence that the takeover will go ahead, it is willing to proceed with the acquisition ahead of the CMA's formal decision if the High Court Hearing sanction is favourable. This makes the High Court Sanction hearing a crucial date. Aviva's decision to not wait to receive the CMA's decision signals confidence that it will receive unconditional clearance, while also shows keen interest in expediting the deal. Unlike some jurisdictions, the UK's merger control system is non-suspensory; implying that a transaction can be completed before the CMA gives the green light. However, this is not risk free as remedial measures would need to be taken if the CMA concluded that the scale of the combined group would result in a substantial lessening of competition in the market. If that were the case, the CMA could impose remedies (such as divestitures) to lessen the impact, which could be detrimental to Aviva's reputation. Under the acquisition proposal, Direct Line's brands such as Churchill and Darwin Motor Insurance will all now fall under Aviva's umbrella. In any case, the resulting larger combined group could benefit from operational efficiencies, which may potentially reduce costs for Aviva and may result in more-favourable premium rates for customers. At the same time, having a dominant player in the market may end up reducing the number of major competitors; thereby limiting consumer choice. Meanwhile, the proposed merger has already had repercussions with top executives at Direct Line stepping down from their position and fears arising about potential job losses upon completion of the takeover. "Aviva to accelerate growth with landmark acquisition of Direct Line" was originally created and published by Life Insurance International, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Daily Mail
5 days ago
- Business
- Daily Mail
Direct Line boss Adam Winslow to step down within days as Aviva completes £3.7bn takeover
Direct Line boss Adam Winslow is set to step down within days as the company's £3.7billion takeover by Aviva completes. Winslow has run the insurer for just over a year, having joined from Aviva. Jason Storah, who filled his old role at Aviva, will now be in charge of Direct Line. There is said to be no love lost between Winslow and Aviva boss Amanda Blanc, and his position has looked precarious since the takeover was agreed in December. Aviva expects it to complete next Tuesday. Direct Line swung to a £205million profit in 2024 from a £190million loss the year before. Now Winslow is leaving alongside chief financial officer Jane Poole, who will be replaced by Aviva's Stephen Pond. The tie-up will create a significant force in the motor insurance sector, estimated to cover more than a fifth of the market. Winslow was handed a £7.8million pay package, much of it a payment to cover the loss in earnings after joining from Aviva. Aviva has said around 2,300 jobs are at risk in the wake of a deal which is being probed by the UK's Competition and Markets Authority.
Time of India
5 days ago
- Health
- Time of India
Sharjah introduces 8-day paid marriage leave for government employees under new HR reform
The new benefit, part of an HR decree by Sheikh Dr Sultan bin Muhammad Al Qasimi, supports work-life balance and is a first in Sharjah's public sector. (Image created using AI for creative & illustrative purposes) In a landmark move to modernize workplace policies and enhance employee welfare, the Government of Sharjah has introduced marriage leave for employees in government agencies, granting eight days of paid leave for those entering matrimony. This policy is part of a broader reform initiative under a new decree-law on human resources in the emirate. The decree was issued by His Highness Sheikh Dr Sultan bin Muhammad Al Qasimi, Supreme Council Member and Ruler of Sharjah, and represents a significant step in expanding government employee benefits. According to Abdullah Ibrahim Al Zaabi, Chairman of the Sharjah Human Resources Department, who spoke on the popular radio program "Direct Line", the decree-law includes a wide range of updates aimed at improving flexibility, inclusivity, and efficiency in the public sector. Key elements include: Marriage Leave: Government employees are now entitled to eight days of paid marriage leave, a benefit introduced for the first time in the emirate. Care Leave for Mothers: Earlier this year, Sharjah approved a "care leave" provision for female government employees who give birth to a sick or disabled child requiring continuous care. This leave begins after the completion of regular maternity leave and can be extended annually for up to three years. Part-Time Work System: A new system is being implemented to support part-time employment, allowing greater flexibility for government workers. Appointment Priority: The law emphasizes priority in government job appointments for citizens and children of female citizens. Non-citizens may still be appointed, but only on contractual terms in accordance with executive regulations. Grade System (A–B): A classification system has been introduced to structure government job appointments and define roles more clearly across departments. Veterinary System: In a less-publicized but equally significant move, the decree-law includes the introduction of a new veterinary system in Sharjah, aimed at modernizing veterinary services and public health management in the emirate. The human resources reforms are part of a broader strategic vision championed by the Sharjah leadership to ensure that employee wellbeing, family support, and citizen empowerment remain at the center of public policy. The new benefits, particularly the introduction of marriage leave and extended care leave, reflect the emirate's family-first ethos and commitment to inclusive employment practices. These reforms align with similar initiatives seen in the UAE in recent years, where public sector employee welfare is increasingly recognized as a key factor in institutional efficiency and social stability.
The Independent
6 days ago
- Business
- The Independent
Direct Line bosses stepping down in leadership reshuffle ahead of Aviva tie-up
Top bosses of Direct Line are stepping down in a major leadership reshuffle after overseeing the £3.7 billion sale of the company to insurance giant Aviva, it has been announced. Chief executive Adam Winslow and chief financial officer Jane Poole have both agreed to leave when the takeover completes. Jason Storah, the current boss of Aviva's general insurance business in the UK and Ireland, has been named as Direct Line's chief executive. And Stephen Pond, the finance chief of the same division, will become its chief finance officer. The company said a leadership team for Direct Line will be confirmed when the acquisition is completed – which it expects to happen in July. The tie-up, which was agreed at the end of last year, will create a significant force in the motor insurance sector, estimated to cover more than a fifth of the total market. Mr Winslow was handed a £7.8 million pay package for last year as the company prepared for the takeover. Much of the pay deal was accounted for by a £5.8 million payment to cover the loss in earnings after joining from Aviva in March 2024, tasked with turning around the business. It means his departure comes having been at the business for just over a year. The takeover caused some concerns among workers at the two firms after Aviva revealed at the end of last year that around 2,300 jobs would be at risk amid cost-cutting efforts in the wake of the deal. It is also being probed by the UK's Competition and Markets Authority (CMA) to investigate if it will lessen competition in the UK – although Aviva recently said it was 'confident' of the watchdog giving the all-clear for the deal. Direct Line also announced a swathe of changes in its boardroom, including bringing in Ian Clark as its chairman.
North Wales Chronicle
17-06-2025
- Business
- North Wales Chronicle
Aviva set to complete £3.7bn takeover of Direct Line in July
The Competition and Markets Authority (CMA) is not due to report back on its so-called phase one investigation on the takeover until July 10 but Aviva said it was 'confident' of receiving the all-clear for the deal. 'Following constructive engagement with the CMA, Aviva remains confident of securing unconditional clearance by the phase 1 statutory deadline,' it said. Aviva is pressing ahead with plans for a court hearing to sanction a July 1 completion of the takeover, which was first announced on December 23 last year. The combined group will be a significant force in the motor insurance sector, estimated to cover more than a fifth of the total UK market. Direct Line owns the Churchill and Green Flag brands, as well as its namesake brand as part of a portfolio offering car, pet, home and other insurance policies. But the scale of the combined group and its share of the market caught the attention of the CMA. The regulator announced in May that it would look at whether the deal would result in a 'substantial lessening of competition' in the sector, though the probe was expected given the size of the two players. The takeover has also caused concerns among workers at the two firms after Aviva revealed at the end of last year that around 2,300 jobs would be at risk amid cost-cutting efforts in the wake of the deal. The takeover will see Aviva pay 129.7 pence in cash and 0.2867 of its own shares for each Direct Line share. It will also pay up to 5p in dividend payments per share to Direct Line shareholders. Aviva shareholders will own approximately 87.5% of the new company while Direct Line shareholders will own about 12.5%. Before the Aviva deal was agreed, Direct Line had fended off a takeover attempt by Belgian company Ageas earlier in 2024. Chief executive Adam Winslow joined Direct Line in March with the goal of turning it around, having been appointed following the ousting of Penny James from the top job. Direct Line has since announced £100 million of cost cuts and axed 550 jobs.
