Rothesay Life the frontrunner to acquire £900m Government mortgage portfolio
British insurance giant Rothesay Life is the frontrunner to acquire a £900m mortgage portfolio from the Government, it has been reported.
Rothesay will buy the equity release mortgages from UK Asset Resolution (UKAR), according to Sky News.
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The news comes six months after Rothesay Life acquired part of life insurance company Prudential's annuity portfolio for £12bn.
UKAR was set up in 2010 as a holding company for the closed loan books of Northern Rock and Bradford & Bingley after they were taken into public ownership.
The deal would continue UKAR's plan to close down by selling off the assets it holds, which stands at £17.2bn of mortgages and loans according its latest financial report.
In April, it sold off £5.3bn of Bradford & Bingley assets to an investor group led by Barclays, which allowed the company to fully repay the government loan that was given to Bradford & Bingley when it was nationalised in 2008.
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