L&G chief executive António Simões
Legal & General has published its full-year results for 2025, revealing a rise in core operating profit of 6%.
The insurer said that, during 2025, its core operating profit had risen 6% to £1.6bn and its core operating earnings per share rose by 9% to 20.93p. The firm also announced a £1.2bn share buyback.
It said its institutional retirement division had posted global pension risk transfer (PRT) business of £11.8bn during the year – including £10.4bn in the UK. It said new wins included its £4.6bn Ford buy-in and its £1.6bn BP buy-in. The Ford buy-in was the largest in the UK in 2025.
L&G said it had a "healthy" PRT pipeline – noting that it was actively pricing on £17bn of transactions in the UK and expected overall UK PRT market volumes to be around £50bn this year.
It said it also expected an increase in large transactions compared to 2025 and "already had sight" of 10 transactions over £1bn that may complete in 2026.
L&G also said its asset management business now had £1.2trn of global assets under management, with its average fee margin growing to 9.1 basis points.
It said it had seen growth in UK defined contribution as well as in its private markets platform, which had seen AUM grow by 32% to £75bn during the year.
In its retail business, L&G said several workplace schemes that it won in 2025 will fund this year (£3.7bn of assets under administration) – adding that it expected monthly contributions to grow to £900m by the end of 2026.
Commenting on the results, L&G chief executive António Simões said the firm was driving forward its growth strategy across its core businesses.
He said: "As a sharper, more focused business, we are well-positioned to capitalise on the structural, growing demand for long-term investments and retirement income. We continue to extend our market leadership in defined benefit pension risk transfer, while in retail we are capturing the defined contribution opportunity, supported by technology, customer service and operating leverage.
"Our asset management business is at an inflection point, with our repositioning efforts and its strong synergies with our other businesses driving improving financial performance, including an increase in annualised net new revenue (ANNR) and a growing average fee margin. We are on track to achieve the financial targets set out in our strategy; our priority now is to accelerate this momentum, maintaining discipline and delivering enhanced shareholder returns."
