As many businesses count the cost of the coronavirus, we want to provide some reassurance around our capital position, and underline our commitment to supporting the needs of your business and your clients.
As shown in our 2019 end-of-year results, our business had £10.3bn of available capital.
Our Solvency II capital requirement is £4.4bn.
We had 2.3 times the amount of available capital the regulator requires us to hold.
As markets began responding to the coronavirus outbreak, we experienced an 8% drop in our investor ratio.1 We do however remain confident in our ability to withstand the current turmoil - though we are of course monitoring the situation closely.
1. Figures calculated on 13 March 2020
While our capital position speaks for itself, we’re also rated by various global ratings agencies.
|Standard & Poor's*||A (July 2019)|
|AKG Actuaries and Consultants Ltd||B+ (October 2019)|
|Moody's||A2 (August 2019)|
*Counterparty Credit Rating (CCR)
At a time like this, we understand you might face questions from your clients about the financial security and stability of the firms you’ve recommended.
To reassure them that they don’t need to worry about the future of Royal London, we’ve recorded a customer podcast with our Group CEO, Barry O’Dwyer, which you can share with your clients.
Thank you for recommending us. We will continue to work hard to repay the trust that you and your clients have in Royal London.
Barry O’Dwyer, Group Chief Executive
From an operational point of view, we’ve been able to adapt and respond to the crisis quickly. In just six days, 99% of our service operations moved out of our offices and into our homes.
And thanks to our investment over the years in building our operational resilience, you’ll find all our processes are fully operational and our telephone lines remain open as normal.