Prudential UK sales top £400m but M&G inflows slow

Prudential saw a first-half boost in sales thanks largely to a 20% jump in corporate pensions new business, but inflows at the group’s investment business fell sharply.

Total sales at Prudential UK in the first half of the year were £409m on an annual premium equivalent (APE) basis, up from £382m in the same period last year.

New business profit was also up, rising to £146m in H1 2011 from £135m in the first six months of 2010.

The group said UK corporate pension sales, at £147m APE, were 20% higher than the same period last year as it works with private sector customers on the transition from defined benefit to defined contribution.

Meanwhile, total annuity sales were 23% lower in the first half, with external sales of £30m down 38% on the same period last year, mainly due to the end of a partnership agreement in the second half of 2010.

Net inflows at the group's asset management business were £3.3bn, down from £4.4bn in the same period last year.

The group said the slowing reflected "extremely high" sales in the previous two years.