Standard Life members attack plc move
Standard Life policy-holders today hit out at the company’s plan to demutualise.
The society was holding its annual meeting in Edinburgh less than a week after it announced plans to convert to a plc.
Around 1,000 jobs were also due to be shed as part of a drive to cut costs by 20%.
Hundreds of policy-holders converged on the Edinburgh International Conference Centre to let Standard Life’s board of directors know what they think of the plans.
Peter Kemp, 69, said he feared for Standard Life’s future if it demutualised.
He said: “If we demutualise it becomes a company and then we’re in the hands of shareholders.
“I feel it will taken out of our hands and whether that is for good or bad I don’t know.”
Hugh O’Donnell, 51, said: “Having made a complete mess of the management of funds I find it difficult to have any confidence in the board’s current proposals.
“Not only have they lost policy-holders a substantial amount of money, they are now likely to lose policy-holders even more money if they go ahead with the demutualisation at this time.”
The society will need the support of 75% of its 2.6 million with-profits policyholders if it is to press ahead with demutualisation and it plans to put the issue to the vote in 2006.
