Strong growth in its workplace business has helped Legal & General deliver an upbeat set of results, covering the first half of 2025.
Legal & General’s workplace assets now top £100bn for the first time – with providers in this sector now focused on delivering scale in the new ‘megafund’ world of workplace pensions.
Overall the company saw its core operating profit up by 6 per cent to £859m, ahead of the consensus of £816m.
New business is helping drive these profits. Within its retail division L&G reported that workplace net new flows stood at £4bn, up 21 per cent from the first six months of 2024. Overall its total assets under administration in its workplace business now stand at £101bn — up 7 per cent of the full year of 2024.
L&G has also delivered growth in its institutional retirement and asset management business.
Commenting on these half-year results Legal & General Group CEO, António Simões, said: “L&G had an excellent six months with core operating EPS (earnings per share) up 9 per cent — at the top end of our targeted range of 6-9 per cent.
“We are growing and making the most of the synergies between our three businesses. Institutional retirement operating profits are up double digits, and we have written over £5bn of new business at low capital strain.
“We have seen material progress in asset management, with positive annualised net new revenues driving a further increase in our average revenue margin, which is now close to our double-digit ambition. In retail, our customer base has grown to 12.4m, and workplace pension assets have surpassed £100bn.”
He added that the firm’s newly announced partnership with Blackstone improves our competitive position in both annuities and asset management.
“The outlook for our businesses is positive and we are firmly on track to achieve our financial targets,” he added.