Prudential retreats from plan to shift headquarters to Asia

INSURANCE giant Prudential has abandoned plans to relocate its headquarters from London, it was suggested yesterday.

Speculation has raged over the Pru’s intention ever since it was revealed that the firm was looking at redomiciling its corporate HQ to Asia to reduce the impact of the European Union’s forthcoming Solvency II regulations.

Following this announcement Deloitte was commissioned to examine relocation options. However their report has not been put in front of the board and there is little sign of the situation changing, according to The Sunday Telegraph.

Despite this it is understood that no final decision on relocation has been taken at any level.

Last week a key European parliament vote on Solvency II was delayed, with the regulations now unlikely to be implemented until 2015 at the earliest.

In March City A.M. revealed that Mayor of London Boris Johnson had waded into the fight to keep Prudential in the capital. He personally wrote to chief executive Tidjane Thiam with a promise to lobby on the company’s behalf.