Scottish Friendly, the Glasgow-based mutual, has announced 2024 sales of £50.6 million, the second-highest sales in its 163-year history.
Total assets under management stood at £4.2 billion, down from £4.6 billion in the previous year “due to investment market returns and the net impact of policyholder premiums and claims.”
Sales of Scottish Friendly’s own brand products saw significant growth, increasing by approximately 30% year-on-year, driven primarily by new ISA and Junior ISA business.
The Society’s performance has enabled it to enhance member benefits, distributing £23 million to eligible members, including £4.5 million through its ProfitShare scheme in 2024.
Its solvency position, as measured by Solvency II Pillar 1 capital, increased to a ratio of 216%, up 26% from the previous year.
Scottish Friendly has also, subject to regulatory approval, also recently announced the acquisition of pension and annuity in-payment books of business from Fidelity International.
The acquisition consists of a book of unit-linked Section 32 pensions business comprising £2.14 billion liabilities across 76 schemes and covering 40,000 policyholders, and the in-payment annuities book with liabilities of £7.3 million and 1,000 annuitants.
Scottish Friendly CEO Stephen McGee said: “2024 marked another milestone in Scottish Friendly’s rich 163-year history, as we achieved our second-highest sales result to date and shared some profits with our eligible members.
“This is a testament to the strength of our strategy and unwavering focus on delivering meaningful value to our members. Our acquisition from Fidelity International builds on our recent performance and underlines our ambition to scale responsibly while remaining focused on member value.
Alan Rankine, Scottish Friendly’s Chief Financial Officer, said: “2024 has been another year of solid performance for Scottish Friendly, despite continued geopolitical and economic challenges.
“Our sales results demonstrate the strength of our business model, while our solvency ratio far exceeds our regulatory requirements, highlighting the financial resilience that underpins everything we do.
“We remain focused and confident in our ability to deliver on our strategic goals and continue supporting our members’ financial wellbeing.”