Revealing its third quarter results, the company confirmed that it had been hit hard by the chancellor’s changes to the annuities market, but it added that overall sales were £288m, up 34 per cent on the third quarter of 2012-13.
In a statement yesterday chief executive Rodney Cook said: “Although operating conditions have become much tougher since the Budget, with sales at around half of pre-Budget levels, we are rapidly adapting our model to the new environment.
“I am confident that by continuing to offer customers a fairer deal in retirement we can deliver further shareholder value.”
Cook added that the introduction of a new product aimed at those seeking to take out annuities before the government’s proposed changes come into force next year is a positive step for the company. “Further product launches will be announced in due course,” Cook added.
The company also launched a plan to restructure yesterday, blaming the government’s policy change.
The plan will cost £5m this financial year in one-off costs but is set to save the business £14m in the next financial year.
Despite the warning, Just Retirement shares were up yesterday, closing 1.72 per cent ahead of the opening price.