Asset manager and retirement provider Legal & General is to begin a £1.2bn share buyback this week, the largest in its history, following a restructure across the business in 2025.
L&G went through a restructure to address legacy complexities and refocus its business.
Antonio Simoes, CEO of Legal & General, told shareholders in the annual results released today that the restructure has left L&G a “sharper, more focused business” which is now in a strong position for growth across its core businesses.
According to the financial report, L&G spent £202m on the restructure in 2025, in addition to the £187m in 2024.
In 2025 L&G’s core operating profit rose 6% to £1,623m, with an IFRS profit before tax of £807m.
Its asset management division saw a relatively flat year, with assets under management holding steady at £1.2trn (2024: £1.14bn).
While net flows remained negative at £27.7bn, they were a considerable improvement from the £48.5bn outflows reported for 2024. Of the 2025 outflows, £51.4bn were UK DB assets.
Core operating profit for the asset management division remained flat at £402m (2024: £401m).
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L&G continued to see strong annuity sales in its retail retirement business, with annuities volumes of £1.8bn, close to last year’s £2bn record. It also saw a 15% increase in its workplace members taking out an L&G annuity.
Assets under administration also rose 21% for its workplace DC proposition to £114bn, with net flows of £6.2bn. L&G added that there are an additional £3.7bn of assets won to onboard in 2026. Its workplace proposition now has over 5.8m members.
The retail division reported a 4% rise in core operating profit for the year to £447m (2024: £430m).
L&G is an asset manager, annuities and workplace pension provider, established in 1836. It has £1.1trn in assets under management, of which 57% is retail.