Legal and General ploughs into Suffolk

Legal & General has strengthened its position in the Sipp market with the acquisition of Suffolk Life for 62m.

L&G says the acquisition, which is still subject to regulatory and shareholder approval. will enable it to accelerate its push into the mass affluent market. The management team at Suffolk Life will remain on board and will continue to operate out of their existing premises in Ipswich.

Suffolk Life has been principally an individual Sipp player, although it has arranged small scale corporate Sipps such as those used for property syndicates. That focus is expected to remain. Earlier this year L&G placed the first group Sipp with a FTSE100 company when it set up a plan for GlaxoSmithKleine that will be available too 19,000 employees.

Tim Breedon chief executive of Legal & General says: “Suffolk Life is an outstanding business which has developed a leading position in the fast growing bespoke SIPP market. Growing our savings business is a strategic priority for Legal & General. “