Aviva taking on Direct Line. Credit score: chrisdorney, Shutterstock
Aviva is anticipated to finish its £3.7 billion (€4.35 billion) takeover of Direct Line Insurance coverage on Tuesday, July 1, 2025, after receiving key approvals and expressing confidence in ultimate clearance from the UK’s Competitors and Markets Authority (CMA).
The CMA is because of publish its part one findings on July 10, however each Aviva and Direct Line stated they’re optimistic. “Following constructive engagement with the CMA, Aviva stays assured of securing unconditional clearance by the part 1 statutory deadline,” the businesses stated in a joint assertion, as reported by Proactive Buyers.
The deal, first introduced in December 2024, will create a serious participant within the UK motor insurance coverage market, with over 20 per cent market share. It consists of Direct Line’s manufacturers Churchill, Inexperienced Flag, and its core automobile, residence, and pet insurance coverage choices.
Nonetheless, the merger has sparked concern amongst employees. Aviva beforehand introduced that round 2,300 jobs may very well be in danger attributable to post-merger cost-cutting, in keeping with The Unbiased.
Direct Line, which had earlier rejected a bid from Belgian insurer Ageas, is at present present process a £100 million cost-cutting programme below new CEO Adam Winslow, who took over in March.
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