You are here: Home - News -

Conversion resolution threat to Standard Life’s mutual status

by:
  • 01/03/2000
  • 0
Standard Life has become the latest organisation to have its mutuality threatened through a member r...

Standard Life has become the latest organisation to have its mutuality threatened through a member requisition to convert.

On 9 February the company received a conversion resolution submitted by a Mr Fred Woollard, a with profits member of Standard Life. With the support of 89 other members, the former fund manager is calling on the mutual insurer to convert to plc status and distribute windfalls to with profits members.

Gordon Arthur, director of corporate affairs at Standard Life, said its bank customers will not be eligible to vote.

He said: “Standard Life Bank is a wholly-owned subsidiary of the life insurance business so bank customers are not members.”

However, customers holding the with profits endowment that was withdrawn from the market seven years ago or Home Plan, the unitised equivalent that replaced it, will qualify.

While Woollard did muster sufficient support from members, the outcome of his campaign still hangs in the balance, so Standard Life was unwilling to discuss the future ownership of the company.

“We have passed the requisitions to our legal advisers and until we receive advice we will not begin to contemplate the action of the board. At this stage, we do not know if there will be a vote. Should the need for a vote arise we will then communicate with our members,” said Arthur.

Rumour has suggested that the campaign was initiated by Carpetbagger.com, but its spokesperson Richard Yendall denied there is a campaign against mutual insurers.

Tags

There are 0 Comment(s)

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.

Profiles

Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.

Marketwatch

Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.

Poll

Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
Read previous post:
Dental cover ‘a growing market”

Corporate dental insurance plans have the potential to be the new low cost employee benefit, accordi...

Close