Royal Liver 'considering' Park Row future after £2.17m loss

Royal Liver says it is “considering carefully” the future of its investment in Park Row after the IFA posted a bigger-than-expected £2.17m loss for the first six months of the year.

The group has also announced chief executive Steve Burnett is stepping down after more than seven years after the board recommended a "change of leadership".

Park Row, the subject of speculation concerning its future with Royal Liver, posted a turnover of £4.3m to the end of June, less than 70% of its anticipated budget.

The speculation grew following the group's announcement it initiated a strategic review of its UK financial advice arm and Royal Liver today says it intends to focus its efforts on its manufacturing propositions Progress and Caledonian Life.

"We have decided to focus on simplifying our group structure, actively managing our capital position and finding further ways to reduce expenditure," Royal Liver interim chairman and chief executive David Woods says.

"This process has already begun and we have completed a major IT outsourcing project and brought to an end expensive door-to-door collections in the UK and, soon, Ireland.

"We are considering carefully the future of our investments in Park Row and Citadel Financial Services."

Royal Liver says Progress performed in line with expectations over the first six months of the year - posting an annual premium equivalent (APE) of £5.8m - although it adds this remains "significantly" down on last year.

Woods replaces Burnett on an interim basis until a replacement can be found. He praised Burnett for his "enormous contribution" to the "refocusing and modernisation" of the company.