PRESS RELEASE: Sheffield Mutual achieves £100 million assets
Posted on March 20, 2017
Sheffield Mutual Friendly Society today announced impressive financial results for 2016, with the main highlight being a 26% increase in assets, taking them over £100 million for the first time in the friendly society’s 125 year history. The Society also recorded a 34% increase in premium income, largely due to the success of its Investment ISA.
2016 Business & Financial Highlights:
- Total assets increased by 26% to £113.8 million (£90.4 million in 2015)
- New policies increased by 10% to 1,915 (1,736 in 2015)
- Premium income increased by 34% to £17.5 million (£13.1 million in 2015)
- Membership grew by 7% to 10,678 (9,955 in 2015)
- Including the Child Trust Fund the Society now has 77,266 policies and accounts
Sheffield Mutual generates investment returns for its policyholders through a diversified with-profits fund, which achieved an excellent investment return of 7.22%. This result, combined with the fact that Sheffield Mutual has no shareholders to pay, enabled the Society to distribute annual bonuses to policyholders worth around £1.5 million (£1.2 million in 2015). This included a bonus rate of 4.75% before charges on the Society’s Investment ISA, which compared very favourably with Cash ISA returns.
The Society has maintained a strong financial base and its surplus of £15.04 million (£13.36 million at 01 Jan 2016), which are the surplus assets in excess of technical provisions, are 136% of the solvency capital requirement.
Commenting on the results, Tony Burdin, Chief Executive, said: “It is very timely to achieve the £100 million milestone in our 125th year. Our assets were just £20 million in 2006, so it demonstrates clearly the Society’s impressive growth and development over the past decade. We expect another good year of growth in 2017, especially as the ISA allowance is increasing to £20,000 per individual for the 2017-18 tax-year.”
For additional information please contact: Dawn Gregory, Business Development Manager – 01226 741000 or via email – email@example.com