FSCS levy hits AWD Chase de Vere earnings

AWD Chase de Vere has reported reduced earnings for Q1, blaming the increasing cost of regulation.

The company saw its turnover in the UK increase by 12.7% on the same period in 2010 to £10.5m.

However, its earnings before interest and tax (EBIT) were down from £1.2m to £1m, largely as a result of the FSCS interim levy.

The figures were revealed in parent company AWD Holding's results, which show overall EBIT of €9.5m, down from €9.8m, and turnover of €135.1m, up from €134m.

The parent company expressed satisfaction with its UK arm's results, describing them as ‘pleasant'.

Stephen Kavanagh, chief executive of AWD Chase de Vere, said: "These results are a pleasing reflection of the progress that we continue to make.

"We have increased turnover compared with 2010 and would also have improved earnings if it wasn't for the increased costs of regulation.

"AWD Chase de Vere is well positioned to achieve continued positive growth and proftability in 2011."

Meanwhile, adviser numbers dropped from 199 at the end of 2010 to 193 at the end of the last quarter.