𝓤𝓷𝓲𝓽𝓮𝓭 𝓝𝓮𝔀𝓼

Life and pensions firm Royal London is to share out £199 million with around 2.4 million customers after annual earnings jumped by nearly a fifth.

The mutual – the founding partner of the first British & Irish Lions Women’s Team – will make the payouts into its customers’ pensions and stocks and shares ISAs on April 1, bringing the total paid under the profit share scheme to more than £2 billion since 2007.

It comes after Royal London grew operating profit by 18% to £327 million as new business sales rose 13% to £12.2 billion.

Underlying pre-tax profits lifted by £1 million to £261 million.

This year’s profit share payout marks a 10% rise on the £181 million paid out in April 2025.

Barry O’Dwyer, group chief executive, said: “We’re owned by our customers and, when we do well, they share in our success.

“In April, we will share £199 million with eligible customers through ProfitShare, bringing the total shared since 2007 to over £2 billion – a tangible demonstration of mutuality in action.”

The group said its workplace pensions business was its “largest source of new customers”, with 230,000 new policyholders taken on in 2025, taking the total to 2.2 million.

Last September it also launched its new stocks and shares ISA, which also qualifies for profit share payouts.

The group added it was launching its “targeted support” offering this year under a new scheme being introduced by the Financial Conduct Authority (FCA) to act as a bridge between generic guidance and individual advice.

Royal London said: “Following the changes announced in the budgets over the last 18 months – around inheritance tax, cash ISA contributions and salary sacrifice pension contributions – it is likely that many people will need to reassess the ways in which they save for the future.

“However, with only 9% of the UK population paying for personal financial advice, the vast majority of customers are navigating complex financial decisions on their own.

“Our modelling suggests that Targeted Support could benefit 21.5 million people in the UK through the actionable advice it provides.

“In 2026, we will launch our Targeted Support offering, designed to complement our continued commitment to offering advisers the support and tools they need to deliver positive outcomes to their clients.”