Skipton offloads financial advice business

SKIPTON BUILDING SOCIETY has sold its financial advice business to Standard Life.

The move from Britain’s fourth biggest insurer to buy Pearson Jones comes ahead of April’s sweeping pension reforms.

Announced last year, the ‘pension freedom’ changes will give people more power over how they spend, save or invest their retirement funds.

The sum of the deal, which is subject to regulatory approval and certain other conditions, was undisclosed.

The sale brings to an end Skipton’s 12-year ownership of the business, which offers wealth management, pensions and employee benefits, tax and trust planning and has total funds under management of more than £1.1bn.

Tim Johnson, managing director of Pearson Jones, said: “Pearson Jones’s management and staff are excited to be joining Standard Life to help build a ‘best in class’ nationwide financial advice business. Standard Life’s focus on enhancing client service and improving the career prospects of our staff makes this acquisition a very good step in our 40-year history.”

Skipton group chief executive David Cutter added: “We are pleased with the way we have been able to develop Pearson Jones since it has been part of the Skipton Group, in collaboration with its management team.

“However, under Standard Life’s new ownership, there are many potential new opportunities for the business to realise and we very much look forward to seeing it flourish in the years to come.”

Barry O’Dwyer, Standard Life managing director, said: “As a leading long-term savings business in the UK, this is an exciting next step for Standard Life. We already help millions of customers to save through the workplace and are a leading provider to the highest quality firms in the advice sector.

“We’re delighted Pearson Jones will be part of our new business. They have a single-minded focus on helping clients and are an excellent example of a progressive firm with an RDR-compliant, platform-based advisory proposition. We look forward to working with the team to support the growth of our new business.”