Strong strategic and operating momentum; achieving 2026 targets

 

Uniquely positioned in attractive markets

Building momentum through execution against strategic priorities

Poised for further growth with Aegon UK acquisition and UK PRT partnership 

Standard Life continues to demonstrate exciting momentum against our vision to be the UK’s leading retirement savings and income business. Our strong half year results reflect how we are helping more customers achieve better outcomes and we remain on track to deliver our end-2026 financial targets, while our profitable growth and strong cash generation is increasing our financial flexibility. The £2 billion acquisition of Aegon UK and our recently announced UK PRT partnership will further strengthen our capabilities and customer offering. Standard Life champions the belief that everyone’s journey to and through retirement can be better and we look to the future with confidence.

- Andy Briggs, Group Chief Executive Officer

Strong H1 2026 financial performance across all key metrics: 

  30 June 2026 Comparative Change

Operating Cash Generation1

Total cash generation2

£745m

£900m

£705m (H1 2025)

£784m (H1 2025)

+6%YoY

+15% YoY

Shareholder Capital Coverage Ratio3,4

Solvency II ('SII') surplus4

SII leverage ratio5

169%

£3.2bn

29%

176% (FY 2025)

£3.6bn (FY 2025)

33% (FY 2025)

-7%pts 6-mth

-11% 6-mth

-4%pts 6-mth

IFRS adjusted operating profit

Cumulative annual run-rate cost savings delivered

IFRS loss after tax

IFRS adjusted shareholders’ equity

2026 Interim dividend per share

£563m

£210m

£(179)m

£2,702m

28.05p

£451m (H1 2025)

£180m (FY 2025)

£(156)m (H1 2025)

£3,098m (FY 2025)

27.35p (H1 2025)

+25%YoY

+17% 6-mth

-15% YoY

-13% 6-mth

+2.6% YoY

Assets under administration

£333bn

£317bn (FY 2025)

+5% 6-mth

Continued operating momentum in core businesses with 6% growth in OCG1 and 25% growth in IFRS adjusted operating profit

Pensions and Savings: growth in AUA and improving margins driving strong earnings development

  • Workplace and Retail momentum continues, supported by strong customer engagement, improving satisfaction, high client retention and innovative solutions that help customers navigate evolving financial needs
  • 36% IFRS adjusted operating profit growth in our capital-light fee-based business to £244m (H1 2025: £179m)
  • 10% growth in average assets under administration (‘AUA’) to £217bn (H1 2025: £198bn)
  • Cost efficiencies drove a 4bps margin improvement to 22bps (H1 2025: 18bps)
  • 23% Operating Cash Generation1 (‘OCG’) growth to £203m (H1 2025: £165m)

Retirement Solutions: delivering strong contributions to OCG1 and continued discipline in competitive PRT market

  • Strong performances across Pension Risk Transfer (‘PRT’) and Individual Annuities, combining customer-focused propositions with disciplined participation in competitive markets
  • 5% OCG1 growth in our capital-utilising spread-based business to £466m (H1 2025: £443m)
  • 6% growth in average AUA to £42.0bn (H1 2025: £39.5bn)
  • Attractive OCG1 margin maintained at 222bps (H1 2025: 224bps), supported by our capital efficiency, scale and recurring management actions
  • 13% IFRS adjusted operating profit growth to £324m (H1 2025: £286m)
  • Disciplined capital deployment maintained and generation of lifetime IRRs of more than 20% in PRT. We expect to deploy up to c.£200m of capital across PRT and Individual Annuities in 2026.


Accelerating our vision to be the UK’s leading retirement savings and income business through proposed Aegon UK acquisition and by expanding our PRT business with up to £2bn partnership

Proposed £2bn Aegon UK acquisition announced on 15 April 2026

  • The £2bn6 acquisition is strategically and financially compelling and significantly strengthens our capabilities and customer offering in the capital-light fee-based Pensions and Savings market
  • Establishes Standard Life as the largest player in the UK Pensions and Savings market on a pro forma basis, underpinned by number two positions in both the Workplace and Retail markets
  • On track for completion around the end of 2026, subject to regulatory approvals

Expanding UK PRT business with proposed up to £2bn partnership announced on 20 August 2026

  • Announced a strategic partnership, with CVC Capital Partners plc and Prudential Financial, Inc. of the US, alongside The Goldman Sachs Group, Inc., MS&AD Insurance Group Holdings, Inc. and other long-term institutional investors to expand our PRT business
  • The partnership combines the strength of Standard Life’s existing PRT proposition and operating expertise with the additional capital and specialist investment capabilities of the partners and enables us to target the schemes that are over £2bn in size, the fastest growing part of the UK PRT market
  • Standard Life will have operational control and a 25% economic interest, contributing £500m over a 5-year period, of the up to £2bn initial combined capital commitment, supporting incremental PRT volume capacity of £5-7bn per annum, in addition to Standard Life volumes
  • Expected to launch in the first half of 2027, subject to regulatory approvals

Building momentum across our strategic priorities

Grow: meeting more of our existing customers’ needs and acquiring new customers

  • Products and distribution:

    • Launched Future Opportunities, a new alternative pension default solution to help drive better member outcomes by opening up access to private markets

    • Expanded Standard Life advice proposition and relaunched Tailored Investment Bond, an onshore investment bond, to meet the evolving tax planning needs of customers

    • Broadened distribution of our Smoothed Managed Fund through launch on Quilter platform

Optimise: optimising our scale in-force business and balance sheet

  • Excess cash generation has enabled us to achieve our c.30% SII leverage ratio5 target at 30 June 2026

    • $350m Tier 2 notes and £250m Tier 3 notes both repaid in June 2026

    • SII leverage ratio5 improved by 4% points to 29% (FY 2025: 33%)

  • Unique in-house expertise delivering better customer outcomes and enhancing returns

    • £12bn of £42bn annuity-backing assets managed in-house

Enhance: transforming our operating model and culture

  • Cumulative run-rate cost savings increased to £210m (FY 2025: £180m)

Outlook - On track across all 2026 financial targets

  Financial target Progress Performance in H1 2026: in year or cumulative since start of 2024
Cash Mid-single digit percentage growth p.a. in Operating Cash Generation1 On track 6% growth year-on-year in H1 2026 to £745m
Total cash generation2 3-year target of £5.1bn across 2024–26 On track £4.4bn achieved cumulatively across 2024–H1 2026
Capital Operate within our 140–180% Shareholder Capital Coverage Ratio3 operating range In our upper half of target range 169% at the end of H1 2026
SII leverage ratio5 of c.30% by the end of 2026 Achieved 4% point improvement to 29% in H1 2026
Earnings c.£1.1bn of IFRS adjusted operating profit in 2026 On track 25% growth year-on-year in H1 2026 to £563m
£250m of annual run-rate cost savings by the end of 2026 On track £210m cumulative run-rate savings achieved by the end of H1 2026
  • We expect to deliver c.£500m of excess cash in 2026, our final year of using excess cash to de-lever
  • Excess cash to grow over time as OCG1 grows faster than our recurring uses. Supports our progressive and sustainable dividend policy and creates financial flexibility
  • Excess cash generated post-2026 will be available to be deployed to the highest returning opportunities, in line with our capital allocation framework. We will look to strike the right balance between growth opportunities and shareholder returns
  • Following the Aegon UK acquisition, IFRS shareholders' equity is expected to increase and be positive in 2027

30 November 2026 Capital Markets Update

  • Post-2026, the broad strategic direction for Standard Life will be in line with our current vision
  • At the Standard Life Capital Markets Update, management will present further detail on the post-2026 strategic priorities and new financial guidance. We will also outline usages of excess cash for 2027

Information required under the Disclosure Guidance & Transparency Rules (‘DTR’)

Information required to be communicated in unedited full text, in accordance with DTR 6.3.5R(1A), is included in the Interim Financial Report.

In accordance with UK Listing Rule 6.4.1, a copy of the Interim Financial Report has been submitted to the National Storage Mechanism and will shortly be available for inspection at: https://data.fca.org.uk/#/nsm/nationalstoragemechanism

The document may also shortly be accessed via the Standard Life website at: https://www.standardlifeplc.com/investors/results-reports-and-presentations/

Enquiries

Investors/analysts:

Claire Hawkins, Director of Corporate Affairs & Chief of Staff, Standard Life
+44 (0)20 4559 3161

Joanne Roberts, Investor Relations Director, Standard Life 
+44 (0)20 4559 4673

Media:

Shellie Wells, Corporate Communications Director, Standard Life 
+44 (0)20 4559 3031

Dan White, Senior Corporate Communications Manager, Standard Life 
+353 87 447 8832

Presentation and webcast details

There will be a live virtual presentation for analysts and investors today starting at 09:30 (BST). You can register for the live webcast at: Standard Life HY 2026 results 

A copy of the presentation and a detailed financial supplement will be available shortly at: 
https://www.standardlifeplc.com/investors/results-reports-and-presentations/
A replay of the presentation and transcript will also be available on our website following the event.

There will also be an additional Q&A event aimed at retail investors, hosted by Andy Briggs, Group CEO, and Nicolaos Nicandrou, Group CFO, following a replay of the Group’s Investor Presentation, via Investor Meet Company on 11 September 2026, starting at 13:30 (BST).

The Investor Meet Company presentation and Q&A is open to all existing and potential shareholders. Questions can be submitted pre-event via your Investor Meet Company dashboard up until 10 September 2026, 09:00 (BST), or at any time during the event.

Investors can sign up to Investor Meet Company for free and add to meet Standard Life plc via:
https://www.investormeetcompany.com/standard-life-plc/register

Dividend details

The declared 2026 Interim dividend of 28.05 pence per share is expected to be paid on 29 October 2026. 

The ordinary shares will be quoted ex-dividend on the London Stock Exchange as of 24 September 2026. The record date for eligibility for payment will be 25 September 2026.

Footnotes

1 Operating Cash Generation (‘OCG’) represents the sustainable level of ongoing cash generation from our underlying business operations, that is remitted from our Life Companies to the Group.

2 Total Cash generation represents the total cash remitted from the operating entities to the Group, comprising OCG, non-recurring management actions and the release of free surplus above capital requirements in the Life Companies.

3 The Shareholder Capital Coverage Ratio excludes SII Own Funds and Solvency Capital Requirements of unsupported With-Profit funds and unsupported pension schemes.

4 30 June 2026 Solvency II capital position is an estimated position.

5 SII leverage ratio calculation = debt (all debt including RT1) / SII regulatory Own Funds. Ratio allows for currency hedges over foreign currency denominated debt.

6 The proposed acquisition of Aegon UK for a total consideration of £2bn is based on 181m Standard Life shares and £750m in cash as of the announcement date, 15 April 2026.

Disclaimers

On 24 February 2026 we changed our name from Phoenix Group Holdings plc to Standard Life plc. References to performance prior to this date relate to Phoenix Group Holdings plc.

This announcement in relation to Standard Life plc and its subsidiaries (the ‘Group’) contains, and the Group may make other statements (verbal or otherwise) containing, forward-looking statements and other financial and/or statistical data about the Group’s current plans, goals, targets, ambitions, outlook, guidance and expectations relating to future financial condition, performance, results, strategy and/or objectives.

Statements containing the words: ‘believes’, ‘intends’, ‘will’, ‘may’, ‘should’, ‘expects’, ‘plans’, ‘aims’, ‘seeks’, ‘targets’, ‘continues’ and ‘anticipates’ or other words of similar meaning are forward looking. Such forward-looking statements and other financial and/or statistical data involve known and unknown risks and uncertainty because they relate to future events and circumstances that are beyond the Group’s control. For example, certain insurance risk disclosures are dependent on the Group’s choices about assumptions and models, which by their nature are estimates. As such, actual future gains and losses could differ materially from those that the Group has estimated. 

Other factors which could cause actual results to differ materially from those estimated by forward-looking statements include, but are not limited to: domestic and global economic, political, social, environmental and business conditions; asset prices; market-related risks such as fluctuations in investment yields, interest rates and exchange rates, the potential for a sustained low-interest rate or high-interest rate environment, and the performance of financial or credit markets generally; the regulations, policies and actions of governmental and/or regulatory authorities including, for example, climate change and the effect of the ‘Solvency UK’ regulations on the Group’s capital maintenance requirements; developments in the UK’s relationship with the European Union; the direct and indirect consequences of the conflicts in Ukraine and the Middle East for European and global macroeconomic conditions and related or other geopolitical conflicts; political uncertainty and instability including the rise in protectionist measures; the impact of changing inflation rates (including high inflation) and/or deflation; information technology (including developments and use of Artificial Intelligence) or data security breaches (including the Group being subject to cyber-attacks);  the development of standards and interpretations including evolving practices in sustainability and climate reporting with regard to the interpretation and application of accounting; the limitation of climate scenario analysis and the models that analyse them; lack of transparency and comparability of climate-related forward-looking methodologies; climate change and a transition to a low-carbon economy (including the risk that the Group may not achieve its targets); the Group’s ability along with governments and other stakeholders to measure, manage and mitigate the impacts of climate change effectively; the implementation of rules, regulations or other actions with an opposing stance to sustainability matters or policies; market competition; changes in assumptions in pricing and reserving for insurance business (particularly with regard to mortality and morbidity trends, gender pricing and lapse rates); the timing, impact and other uncertainties of any proposed or future acquisitions, joint ventures, disposals or other strategic transactions (including any associated integration); risks associated with arrangements with third parties; inability of reinsurers to meet obligations or unavailability of reinsurance coverage; and the impact of changes in capital and implementing changes in IFRS 17 or any other regulatory, solvency and/or accounting standards, and tax laws and practices and other legislation and regulations in the jurisdictions in which members of the Group operate.

As a result, the Group’s actual future financial condition, performance and results may differ materially from the plans, goals, targets, ambitions, outlook, guidance and expectations set out in the forward-looking statements and other financial and/or statistical data within this announcement. The information in this announcement does not constitute an offer to sell or an invitation to buy securities in Standard Life plc or an invitation or inducement to engage in any other investment activities. The Group undertakes no obligation to update any of the forward-looking statements or data contained within this announcement or any other forward-looking statements or data it may make or publish. Nothing in this announcement constitutes, nor should it be construed as, a profit forecast or estimate. No representation is made that any of these statements will come to pass or that any future results will be achieved. As a result, you are cautioned not to place undue reliance on such forward-looking statements contained in this announcement.