Lord Heseltine slams the Government for failing to intervene as mutual insurer LV is yet another UK firm set to be snapped up by ‘predators’
Mutual insurer LV came a step closer to falling into private equity hands after it won backing from regulators
Mutual insurer LV came a step closer to falling into private equity hands after it won backing from regulators.
The Financial Conduct Authority said LV can put the proposed £530m takeover by Bain Capital to a vote by its members.
That paves the way for LV – set up in 1843 and previously known as Liverpool Victoria – to be demutualised despite concerns over its future in private equity hands. The deal needs 75pc approval by members on a 50pc turnout.
But, fearing it will not get half to take part, LV will ask those who do to also vote to drop the turnout threshold. Critics have branded the rule change ‘reprehensible’ and urged the Government to step in.
Former government minister Lord Heseltine said: ‘The Government could intervene but don’t, anything is for sale and that is the problem. No week goes by without the predators enjoying the free-for-all that is the British marketplace.’