Royal London today announces that Group CEO Phil Loney has decided to stand down by the end of 2019. He is standing down to concentrate on his longstanding charitable interests in the international development sector and supporting people with learning difficulties.
Since joining Royal London in 2011, Phil has overseen 154% growth in the UK’s largest life, pensions and investment mutual from £46 billion assets under management to £117 billion at the end of June 2018. Total life and pension new business sales for Royal London have quadrupled from under £3bn in 2011 to over £12bn in 2017, creating a business that is a top four new business player in its key sectors.
Phil has led the transformation of Royal London from a collection of individual brands into a strong, single brand with a reputation for excellent customer service. 2017 financial results reflected the expanded revenues with EEV pre-tax profit at £594 million (compared to £321 million in 2016). Over one million Royal London members and qualifying customers share in the profits as a result of its unique ProfitShare scheme which has paid out over £750 million.
Rupert Pennant-Rea, Chairman of Royal London, said:
“On behalf of the board I would like to thank Phil for his dedication to and success in transforming the scale, reach and visibility of Royal London. He leaves the business both in a significantly stronger position than when he joined and extremely well-positioned for continued future success.”
Phil Loney, Chief Executive of Royal London, said:
“It has been an incredible privilege to lead Royal London over the last seven years and to work with so many dedicated and professional colleagues. I would like to thank Rupert and all of my board colleagues for their support in allowing us to take bold decisions in the pursuit of making Royal London a truly successful financial mutual. Growing this business has been a real team effort with all credit to my executive team and their people. I am particularly proud that, as a member-owned business, our customers are centre-stage and we are able to reward them by sharing our profits. I have no doubt that Royal London will continue to go from strength to strength and I wish all of our people continued success in years to come.”
Royal London also announces the departure of Rupert Pennant-Rea at the end of 2018, having served as Chairman of the board for over five years. Rupert will be succeeded, subject to regulatory approval, on 1st January 2019 by Kevin Parry OBE.
Kevin has extensive board and chair experience and a deep understanding of the asset management and life and pensions sectors gained from his executive and non-executive careers. He has experience and contemporary knowledge of the regulatory environment as overseen by the Prudential Regulation Authority and the Financial Conduct Authority. He currently serves as Chairman of Intermediate Capital Group plc, Senior Independent Director of Standard Life Aberdeen plc and is a non-executive director of Nationwide Building Society and Daily Mail & General Trust plc. He will stand down from the Board of Standard Life Aberdeen plc on 31 December 2018.
Kevin will lead the search for a new CEO.
The search for the Chairman was led by Andrew Palmer, Royal London’s Senior Independent Director, who said:
“On behalf of the board I would like to thank Rupert for his Chairmanship over the last five years. Rupert has guided us through a significant period of change which has helped to consolidate Royal London’s status as a hugely successful and profitable mutual. We conducted a wide ranging and extensive search for a new Chairman and I am delighted that we have secured Kevin as our next Chairman.”
Kevin Parry OBE, incoming Chairman of Royal London, said:
“I am honoured to have been selected as Chairman of Royal London. I am firmly committed to the principle of mutuality and am looking forward to working with the rest of the board, executive team and a new chief executive to take Royal London on the next phase of its growth.”
- ENDS –
Notes to Editors
1. Total life and pension new business sales is presented on a present value of new business premium basis, increasing from £2,893m in 2011 to £12,002m in 2017.
Phil Loney was appointed to the board on 1 October 2011, coinciding with his appointment as Group Chief Executive of Royal London Group. He is Chairman of our Group Executive and Disclosure Committees. He previously spent eight years at Lloyds Banking Group, latterly as managing director of Life, Pensions and Investments. Prior to joining Lloyds, Phil held senior management positions with AXA, Norwich Union, CGU and Lloyds Abbey Life amongst others. He is the Deputy Chairman of the Association of British Insurers.
Kevin Parry OBE is currently the Chairman of Intermediate Capital Group plc, the Senior Independent Director of Standard Life Aberdeen plc and a non-executive director at Nationwide Building Society and Daily Mail & General Trust plc. He is also Chairman of the Royal National Children’s Springboard Foundation, a charity providing life transforming opportunities through education to disadvantaged children. He is a member of Court of the Worshipful Company of Chartered Accountants in England and Wales. He was previously Chairman of the Homes and Communities Agency and a non-executive director of Schroders plc and Knight Frank LLP. Kevin’s career began at KPMG where he progressed to be a managing partner before leaving to become Group Chief Executive of Management Consulting Group plc and then Chief Financial Officer of Schroders plc.
Rupert Pennant-Rea was appointed to the board in December 2012 and was appointed Chairman after the AGM in 2013. He is Chairman of the Nominations Committee. Rupert served as Chairman of Henderson Group plc for eight years before stepping down at the 2013 AGM. He was also Deputy Governor of the Bank of England from 1993 to 1995, prior to which he spent 16 years with The Economist, where he was editor from 1986 to 1993. He was appointed Non-Executive Chairman of the Economist Group in July 2009. His other directorships include PGI Group Limited and Times Newspaper Holdings Limited.
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About Royal London:
Royal London is the largest mutual life, pensions and investment company in the UK, with funds under management of £117 billion, 8.8 million policies in force and 3,745 employees. Figures quoted are as at 30 June 2018.