Just Retirement, the specialist UK life assurance group focusing on the provision of financial services to those at or in retirement, today announces its new business figures for the third quarter ended 31 March 2008.

HIGHLIGHTS

• Group total sales in the third quarter of £184.7m, up 12.1% on corresponding period of previous year (£164.8m)
• Group total sales in nine months to 31 March 2008 of £571.7m, up 20.5% year-on-year on the corresponding period (£474.4m).
• Based on a recent study by Watson Wyatt, Just Retirement now expects the total UK annuity market to almost double in size over the next three years and for enhanced annuities to increase their share of this market from the current market share of 11%.
• Equity release distribution partnership signed with Bradford & Bingley, one of the largest providers of equity release products in the UK, giving the Group access to 197 branches nationwide.

NEW BUSINESS RESULTS

£m (unaudited)	3 months ended 31 March 2008	3 months ended 31 March 2007	% change
Annuity Policies	147.6	130.7	12.9%
Equity Release Mortgage Advances	37.1	34.1	8.8%
Group Total	184.7	164.8	12.1%
£m (unaudited)	9 months ended 31 March 2008	9 months ended 31 March 2007	% change
Annuity Policies	460.7	401.8	14.7%
Equity Release Mortgage Advances	111.0	72.6	52.9%
Group Total	571.7	474.4	20.5%

Mike Fuller, Chief Executive of Just Retirement, commented:

“I am pleased to report that the positive indications highlighted in our recent interim results are now becoming apparent in our new business figures.

Despite a slow annuity market – where we believe that up to one quarter of retirees may have taken the decision to delay purchasing an annuity – we have delivered year on year growth of 14.7% in sales. We are confident that these deferments will begin to be reversed in the next few months since it is not generally possible for the majority of retirees to forego the income generated in the medium term.

As anticipated, our equity release business has continued to progress well. Year to date growth against the comparable period is a very strong 52.9%, while the business has shown resilience in current conditions, delivering 8.8% growth against the equivalent quarter last year.

I am delighted to announce that we have signed a distribution agreement with Bradford & Bingley Group plc enabling Just Retirement Solutions, our advisory distribution business, to market equity release products via its 197-strong national branch network and to their large existing customer base. This arrangement should increase volumes in the coming financial year over and above those already generated by SAGA and a number of large IFA groups which already introduce their customers to the Group.

Just Retirement was a sponsor of the Watson Wyatt ‘At Retirement Study’ the most extensive analysis of its kind to date in the UK. The results suggest significant sustained growth of almost 20% per annum in the annuity market over the next ten years.  The study’s approach was substantially evidence-based and data-driven, however its findings are supported by the fact that personal pensions were introduced exactly 20 years ago. Monies invested from this time on are now starting to mature as a growing number of people reach retirement.

Based on the information contained in the study, the individual annuity market is likely to grow from £11bn in 2007 to £20bn within the next three years.  Additionally, we are confident that the share of the market taken by enhanced and impaired annuities will continue to grow from the 11% level achieved in the final quarter of 2007, boosted by impending regulatory initiatives in regard to the operation of the Open Market Option, in the context of the FSA’s Treating Customers Fairly. The medium term outlook is therefore very strong both from a market perspective and the Group’s state of readiness to secure growth from it.

During the third quarter, annuity market conditions remained subdued, owing largely to consumer confidence. However, there are recent signs of improvement which may suggest that these adverse conditions could be coming to an end. Current trading remains encouraging for equity release as we reap the rewards of a new pricing strategy adopted early in the New Year. We remain confident of meeting our expectations for the current financial year.”

A conference call for analysts and investors will be held at 9.00am this morning. Please contact Lindsay Noton at Citigate Dewe Rogerson on 020 7282 1032 for dial-in details.

Enquiries

Just Retirement	+44 1737 233206
Mike Fuller, Chief Executive
Simon Thomas, Finance Director
Citigate Dewe Rogerson	+44 20 7638 9571
Michael Berkeley
Scott Fulton
Ged Brumby

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