L&G Half Year Results 2022 Part 2

RNS Number : 3227V

Legal & General Group Plc

09 August 2022

Legal & General Group Plc

Half Year Results 2022 Part 2

1 Independent review report to Legal & General Group Plc Page 33

Conclusion

We have been engaged by Legal & General Group Plc ('the company') to review the condensed set of financial statements in the half-yearly financial report for the six months ended 30 June 2022 which comprises the Consolidated Income Statement, Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Condensed Consolidated Statement of Changes in Equity, Consolidated Statement of Cash Flows (pages 46 to 51) and the related explanatory notes to the interim financial statements (pages 35 to 45 and 52 to 72).

Based on our review, nothing has come to our attention that causes us to believe that the condensed set of financial statements in the half-yearly financial report for the six months ended 30 June 2022 is not prepared, in all material respects, in accordance with IAS 34 Interim Financial Reporting as adopted for use in the UK and the Disclosure Guidance and Transparency Rules ("the DTR") of the UK's Financial Conduct Authority ("the UK FCA").

Basis for conclusion

We conducted our review in accordance with International Standard on Review Engagements (UK) 2410 Review of Interim Financial Information Performed by the Independent Auditor of the Entity ("ISRE (UK) 2410") issued for use in the UK. A review of interim financial information consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. We read the other information contained in the half-yearly financial report and consider whether it contains any apparent misstatements or material inconsistencies with the information in the condensed set of financial statements.

A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK) and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusions relating to going concern

Based on our review procedures, which are less extensive than those performed in an audit as described in the Basis of conclusion section of this report, nothing has come to our attention that causes us to believe that the directors have inappropriately adopted the going concern basis of accounting, or that the directors have identified material uncertainties relating to going concern that have not been appropriately disclosed.

This conclusion is based on the review procedures performed in accordance with ISRE (UK) 2410. However, future events or conditions may cause the group to cease to continue as a going concern, and the above conclusions are not a guarantee that the group will continue in operation.

Directors' responsibilities

The half-yearly financial report is the responsibility of, and has been approved by, the directors. The directors are responsible for preparing the half-yearly financial report in accordance with the DTR of the UK FCA.

As disclosed in note 4.01, the latest annual financial statements of the group are prepared in accordance with UK-adopted international accounting standards. The directors are responsible for preparing the condensed set of financial statements included in the half-yearly financial report in accordance with IAS 34 as adopted for use in the UK. In preparing the condensed set of financial statements, the directors are responsible for assessing the group's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or to cease operations, or have no realistic alternative but to do so.

Our responsibility

Our responsibility is to express to the company a conclusion on the condensed set of financial statements in the half-yearly financial report based on our review. Our conclusion, including our conclusions relating to going concern, are based on procedures that are less extensive than audit procedures, as described in the Basis for conclusion section of this report.

Legal & General Group Plc

Half Year Results 2022 Part 2

1 Independent review report to Legal & General Group Plc (continued) Page 34

The purpose of our review work and to whom we owe our responsibilities

This report is made solely to the company in accordance with the terms of our engagement to assist the company in meeting the requirements of the DTR of the UK FCA. Our review has been undertaken so that we might state to the company those matters we are required to state to it in this report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company for our review work, for this report, or for the conclusions we have reached.

Salim Tharani

for and on behalf of KPMG LLP
Chartered Accountants

15 Canada Square

London

E14 5GL

8 August 2022

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosures on performance and Release from operations Page 35

2.01 Operating profit^#

For the six month period to 30 June 2022

		6 months	6 months	Full year
		2022	2021	2021
	Notes	£m	£m	£m


Legal & General Retirement Institutional (LGRI)¹	2.03	560	525	1,154
Legal & General Capital (LGC)	2.04	263	250	461
Legal & General Investment Management (LGIM)	2.05	200	204	422
Retail	2.03	332	292	620
- Insurance²		185	134	268
- Retail Retirement¹		147	158	352


Operating profit from divisions		1,355	1,271	2,657
Group debt costs³		(108)	(120)	(230)
Group investment projects and expenses		(87)	(72)	(165)


Operating profit		1,160	1,079	2,262



Investment and other variances	2.06	207	244	233
Losses attributable to non-controlling interests		-	(3)	(7)


Adjusted profit before tax attributable to equity holders		1,367	1,320	2,488
Tax expense attributable to equity holders	4.04	(214)	(258)	(445)


Profit for the period	3.01	1,153	1,062	2,043

Total tax expense	3.01	287	339	589
Profit before tax	3.01	1,440	1,401	2,632

Profit attributable to equity holders		1,153	1,065	2,050


Earnings per share:
Basic (pence per share)⁴	2.07	19.28p	17.78p	34.19p
Diluted (pence per share)⁴	2.07	18.37p	16.96p	32.57p


1. From 1 January 2022, following changes to business unit responsibilities within the Executive Committee, the group's reportable segments have been updated to align with its five core businesses. Prior period comparatives have been restated to reflect this change in segmentation. Further details are provided in Note 2.08.
2. Insurance operating profit includes £46m (H1 21: £38m; FY 21: £(52)m) from US Insurance.
3. Group debt costs exclude interest on non-recourse financing.
4. All earnings per share calculations are based on profit attributable to equity holders of the company.

This supplementary operating profit information (one of the group's key performance indicators) provides additional analysis of the results reported under IFRS, and the group believes it provides stakeholders with useful information to enhance their understanding of the performance of the business in the period.

Operating profit measures the pre-tax result excluding the impact of investment volatility, economic assumption changes caused by changes in market conditions or expectations and exceptional items. It therefore reflects longer-term economic assumptions for the group's LGRI and Retail businesses and shareholder funds, including the traded portfolio in LGC. For the group's direct investments, operating profit reflects the expected long-term economic return for those assets which are developed with the intention of sale, or the IFRS profit before tax for the early stage and mature businesses. Variances between actual and long-term expected investment return on traded and real assets (including direct investments) are excluded from operating profit, as well as economic assumption changes caused by changes in market conditions or expectations (e.g. credit default and inflation) and any difference between the actual allocated asset mix and the target long-term asset mix on new pension risk transfer business. Operating profit also excludes the yield associated with assets held for future new pension risk transfer business from the valuation discount rate on insurance contract liabilities. Exceptional income and expenses which arise outside the normal course of business in the year, such as merger and acquisition and start-up costs, are also excluded from operating profit.

The group reports its results across the following business segments:

· LGRI represents worldwide pension risk transfer business including longevity insurance.

· LGC represents shareholder assets invested in direct investments primarily in the areas of specialist commercial real estate, clean energy, housing and SME finance, as well as traded and treasury assets.

· LGIM represents institutional and retail investment management.

· Insurance primarily represents UK protection (both group and retail) and Fintech business (UK Insurance and other), as well as US retail protection business (US Insurance).

· Retail Retirement primarily represents retail annuity and drawdown products, workplace savings and lifetime mortgage loans.

# All references to 'Operating profit' throughout this report represent 'Adjusted operating profit', an alternative performance measure defined in the glossary.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosures on performance and Release from operations Page 36

2.02 Reconciliation of release from operations to operating profit^# before tax

					Changes in valuation assump- tions			Operating profit/ (loss) after tax		Operating profit/ (loss) before tax
		New business surplus/ (strain)	Net release from operations
	Release from operations¹			Exper- ience variances		Non-cash items	Other²		Tax expense/ (credit)

For the six month period
to 30 June 2022	£m	£m	£m	£m	£m	£m	£m	£m	£m	£m


LGRI³	310	156	466	6	-	7	-	479	81	560
LGC	208	-	208	-	-	-	-	208	55	263
LGIM	162	-	162	-	-	-	-	162	38	200
Retail	345	(2)	343	(3)	18	(2)	(77)	279	53	332
- Insurance	219	(8)	211	2	18	(1)	(77)	153	32	185
- Retail Retirement³	126	6	132	(5)	-	(1)	-	126	21	147


Total from divisions	1,025	154	1,179	3	18	5	(77)	1,128	227	1,355


Group debt costs	(87)	-	(87)	-	-	-	-	(87)	(21)	(108)
Group investment projects and expenses	(47)	-	(47)	-	-	-	(34)	(81)	(6)	(87)

Total	891	154	1,045	3	18	5	(111)	960	200	1,160


1. Release from operations within Insurance includes £85m of dividends from US Insurance.
2. Other includes experience variances, changes in valuation assumptions (includes changes to assets allocation) and non-cash items relating to US Insurance.
3. From 1 January 2022, following changes to business unit responsibilities within the Executive Committee, the group's reportable segments have been updated to align with its five core businesses. Prior period comparatives have been restated to reflect this change in segmentation. Further details are provided in Note 2.08.

Release from operations for LGRI and the UK protection business within Retail represents the expected IFRS surplus generated in the period from the difference between the prudent assumptions underlying the IFRS liabilities and our best estimate of future experience. For workplace savings within Retail Retirement, the release from operations represents the expected annual management charges generated from the in-force business less expected expenses. The Insurance release from operations also includes dividends remitted from US Insurance and IFRS profit after tax for the Fintech business.

New business surplus/(strain) for LGRI and the UK protection business represents the initial profit or loss from writing new business. This includes the costs associated with acquiring new business and setting up prudent reserves, net of tax. Similarly for workplace savings, this includes the cost of acquiring new business in the year less the annual management charges generated by the assets under administration (AUA), net of tax. The new business surplus and release from operations for LGRI and Retail excludes any capital held in excess of the prudent reserves from the liability calculation.

LGRI and Retail Retirement's new business metrics are presented based on a single target long-term asset portfolio. At certain period ends, depending upon the quantum and timing of pension risk transfer (PRT) volumes, we may have sourced more or less of the high quality assets targeted to support that business. At period end, the profit impact of the difference between actual assets held (including alternative surplus assets where suitable) and the long-term asset mix is reflected in investment variance.

Net release from operations for LGRI and Retail is defined as release from operations plus new business surplus/(strain).

Release from operations and net release from operations for LGC and LGIM represents the operating profit (net of tax).

See Note 2.03 for more detail on experience variances, changes to valuation assumptions and non-cash items.
# All references to 'Operating profit' throughout this report represent 'Adjusted operating profit', an alternative performance measure defined in the glossary.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosures on performance and Release from operations Page 37

2.02 Reconciliation of release from operations to operating profit^# before tax (continued)

					Changes in valuation assump- tions			Operating profit/ (loss) after tax		Operating profit/ (loss) before tax
		New business surplus/ (strain)	Net release from operations
	Release from operations¹			Exper- ience variances		Non-cash items	Other²		Tax expense/ (credit)

For the six month period
to 30 June 2021	£m	£m	£m	£m	£m	£m	£m	£m	£m	£m


LGRI³	252	68	320	105	8	15	-	448	77	525
LGC	213	-	213	-	-	-	-	213	37	250
LGIM	163	-	163	-	-	-	-	163	41	204
Retail	262	23	285	16	1	1	(64)	239	53	292
- Insurance	151	8	159	4	1	4	(64)	104	30	134
- Retail Retirement³	111	15	126	12	-	(3)	-	135	23	158


Total from divisions	890	91	981	121	9	16	(64)	1,063	208	1,271


Group debt costs	(97)	-	(97)	-	-	-	-	(97)	(23)	(120)
Group investment projects and expenses	(30)	-	(30)	-	-	-	(31)	(61)	(11)	(72)


Total	763	91	854	121	9	16	(95)	905	174	1,079

										Operating
		New	Net		Changes in			Operating		profit/
	Release	business	release	Exper-	valuation			profit/	Tax	(loss)
	from	surplus/	from	ience	assump-	Non-cash		(loss) after	expense/	before
For the year ended	operations¹	(strain)	operations	variances	tions	items	Other²	tax	(credit)	tax
31 December 2021	£m	£m	£m	£m	£m	£m	£m	£m	£m	£m


LGRI³	512	193	705	40	212	27	-	984	170	1,154
LGC	379	-	379	-	-	-	-	379	82	461
LGIM	342	-	342	-	-	-	-	342	80	422
Retail	463	54	517	28	121	2	(138)	530	90	620
- Insurance	236	27	263	14	82	6	(138)	227	41	268
- Retail Retirement³	227	27	254	14	39	(4)	-	303	49	352


Total from divisions	1,696	247	1,943	68	333	29	(138)	2,235	422	2,657


Group debt costs	(186)	-	(186)	-	-	-	-	(186)	(44)	(230)
Group investment projects and expenses	(69)	-	(69)	-	-	-	(68)	(137)	(28)	(165)


Total	1,441	247	1,688	68	333	29	(206)	1,912	350	2,262



1. Release from operations within Insurance includes £80m of dividends from US Insurance.
2. Other includes experience variances, changes in valuation assumptions and non-cash items relating to US Insurance.
3. From 1 January 2022, following changes to business unit responsibilities within the Executive Committee, the group's reportable segments have been updated to align with its five core businesses. Prior period comparatives have been restated to reflect this change in segmentation. Further details are provided in Note 2.08.

# All references to 'Operating profit' throughout this report represent 'Adjusted operating profit', an alternative performance measure defined in the glossary.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosures on performance and Release from operations Page 38

2.03 Analysis of LGRI and Retail operating profit

For the six month period to 30 June 2022

	LGRI¹	Retail¹	LGRI¹	Retail¹	LGRI¹	Retail¹
	6 months	6 months	6 months	6 months	Full year	Full year
	2022	2022	2021	2021	2021	2021
	£m	£m	£m	£m	£m	£m


Net release from operations	466	343	320	285	705	517


Experience variances
- Persistency	-	(1)	-	(6)	1	(5)
- Mortality/morbidity	13	13	27	18	24	29
- Expenses	(7)	(7)	(1)	(4)	6	(1)
- Project and development costs	-	(1)	(2)	(1)	(11)	(19)
- Other	-	(7)	81	9	20	24


Total experience variances	6	(3)	105	16	40	28


Changes in valuation assumptions
- Persistency	-	-	-	-	-	(5)
- Mortality/morbidity	-	18	-	-	153	46
- Expenses	-	-	-	-	-	(1)
- Other	-	-	8	1	59	81


Total changes in valuation assumptions	-	18	8	1	212	121


Movement in non-cash items²	7	(2)	15	1	27	2


Other³	-	(77)	-	(64)	-	(138)


Operating profit after tax	479	279	448	239	984	530


Tax expense	81	53	77	53	170	90


Operating profit before tax	560	332	525	292	1,154	620


1. From 1 January 2022, following changes to business unit responsibilities within the Executive Committee, the group's reportable segments have been updated to align with its five core businesses. Prior period comparatives have been restated to reflect this change in segmentation. Further details are provided in Note 2.08.
2. LGRI Movement in non-cash items is driven by the net effect of the capitalisation and unwind of future asset management profits on assets managed by LGIM, and is a function of new business volumes and movements in the main unit cost assumptions.
3. Other includes experience variances, changes in valuation assumptions (includes changes to assets allocation) and non-cash items relating to US Insurance.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosures on performance and Release from operations Page 39

2.04 LGC operating profit


	6 months	6 months	Full year
	2022	2021	2021
	£m	£m	£m


Direct investments¹	202	195	350
Traded investment portfolio including treasury assets²	61	55	111


Total LGC operating profit	263	250	461


1. Direct investments represents LGC's portfolio of assets across specialist commercial real estate, clean energy, housing and SME finance. Direct investments include operating profit in relation to CALA Homes of £98m (H1 21: £78m; FY 21: £132m).
2. The traded investment portfolio holds a diversified set of exposures across equities, fixed income, multi-asset funds and cash.

2.05 LGIM operating profit

	6 months	6 months	Full year
	2022	2021	2021
	£m	£m	£m


Asset management revenue (excluding 3rd party market data)¹	485	471	980
Asset management transactional revenue²	9	9	32
Asset management expenses (excluding 3rd party market data)¹	(294)	(276)	(590)


Total LGIM operating profit	200	204	422

1. Asset management revenue and expenses exclude income and costs of £15m in relation to the provision of third party market data (H1 21: £18m; FY 21: £32m).
2. Transactional revenue from external clients includes execution fees, asset transition income, trigger fees, arrangement fees on property transactions and performance fees.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosures on performance and Release from operations Page 40

2.06 Investment and other variances

	6 months	6 months	Full year
	2022	2021	2021
	£m	£m	£m


Investment variance related to protection liabilities¹	617	230	111
Investment variance related to the traded investment portfolio and direct investments²	(308)	48	19
Other investment variance³	(83)	(23)	211


Investment variance	226	255	341
M&A related and other variances⁴	(19)	(11)	(108)



Total investment and other variances	207	244	233


1. The positive investment variance of £617m reflects the formulaic impact of an increase in UK and US government bond yields which have resulted in a higher discount rate used to calculate the group's protection liabilities.
2. The negative investment variance of £308m largely reflects volatile global equity market performance in the traded investment portfolio.
3. Other investment variance includes a negative variance in respect of the defined benefit pension scheme, reflecting the impact of the acquisition of annuity assets from LGRI and Retail Retirement, and the difference between the IAS 19 and annuity discount rates. This was partially offset by a positive variance from the UK annuity businesses, driven by good quality asset sourcing and improved cash flow matching within the portfolio.
4. M&A related and other variances includes gains and losses, expenses and intangible amortisation relating to acquisitions, disposals and restructuring as well as business start-up costs.

Investment variance includes differences between actual and long-term expected investment return on traded and real assets (including direct investments), economic assumption changes caused by changes in market conditions or expectations (e.g. credit default and inflation), the impact of any difference between the actual allocated asset mix and the single target long-term asset mix on new pension risk transfer business, and the yield associated with assets held for future new pension risk transfer business from the valuation discount rate.

The long-term expected investment return is based on opening economic assumptions applied to the assets under management at the start of the reporting year. The assumptions underlying the calculation of the expected returns for traded equity, commercial property and residential property are based on market consensus forecasts and long-term historic average returns expected to apply through the cycle. The long-term expected investment returns are:

	6 months	6 months	Full year
	2022	2021	2021


Equities	7%	7%	7%
Commercial property	5%	5%	5%
Residential property¹	3.5%	RPI + 50bps	RPI + 50bps


1. In previous years the assumption RPI + 50bps was in line with average historical returns. Due to the current spike in inflation and in order to keep the rate aligned to average historical returns, it was updated to 3.5% in 2022.

Additionally, the LGC alternative asset portfolio comprises investments in housing, specialist commercial real estate, clean energy, and SME finance. The long-term expected investment return is on average between 8% and 10%, in line with our stated investment objectives. Rates of return specific to each asset are determined at the point of underwriting and reviewed and updated annually. The expected investment return includes assumptions on appropriate discount rates and inflation as well as sector specific assumptions including retail and commercial property yields and power prices.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosures on performance and Release from operations Page 41

2.07 Earnings per share

(a) Basic earnings per share

	After tax	Per share¹	After tax	Per share¹	After tax	Per share¹
	6 months	6 months	6 months	6 months	Full year	Full year
	2022	2022	2021	2021	2021	2021
	£m	p	£m	p	£m	p


Profit for the period attributable to equity holders	1,153	19.47	1,065	17.96	2,050	34.58
Less: coupon payable in respect of restricted Tier 1 convertible notes net of tax relief	(11)	(0.19)	(11)	(0.18)	(23)	(0.39)
Total basic earnings	1,142	19.28	1,054	17.78	2,027	34.19
1. Basic earnings per share is calculated by dividing profit after tax by the weighted average number of ordinary shares in issue during the period, excluding employee scheme treasury shares.

(b) Diluted earnings per share

	After tax	Weighted average number of shares	Per share¹
For the six month period to 30 June 2022	£m	m	p


Profit for the period attributable to equity holders	1,153	5,922	19.47
Net shares under options allocable for no further consideration	-	46	(0.15)
Conversion of restricted Tier 1 notes	-	307	(0.95)

Total diluted earnings	1,153	6,275	18.37

	After tax	Weighted average number of shares	Per share¹
For the six month period to 30 June 2021	£m	m	p


Profit for the period attributable to equity holders	1,065	5,929	17.96
Net shares under options allocable for no further consideration	-	45	(0.14)
Conversion of restricted Tier 1 notes	-	307	(0.86)

Total diluted earnings	1,065	6,281	16.96


	After tax	Weighted average number of shares	Per share¹
For the year ended 31 December 2021	£m	m	p


Profit for the year attributable to equity holders	2,050	5,929	34.58
Net shares under options allocable for no further consideration	-	59	(0.34)
Conversion of restricted Tier 1 notes	-	307	(1.67)

Total diluted earnings	2,050	6,295	32.57
1. For diluted earnings per share, the weighted average number of ordinary shares in issue, excluding employee scheme treasury shares, is adjusted to assume conversion of all potential ordinary shares, such as share options granted to employees and conversion of restricted Tier 1 notes.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosures on performance and Release from operations Page 42

2.08 Segmental analysis

In 2021, the group operated five core businesses across four reportable segments that are continuing operations, with Retail Retirement and Legal & General Retirement Institutional (LGRI) combined into a single segment for reporting purposes, being Legal & General Retirement. From 1 January 2022, the group has made changes to the business unit responsibilities within the Executive Committee. Andrew Kail has become the Chief Executive Officer of LGRI, succeeding Laura Mason who had previously moved to become CEO of Legal & General Capital (LGC). Our two retail businesses, Retail Retirement and Insurance (comprising UK Insurance and other, and US Insurance), have come together under the leadership of Bernie Hickman. Reportable segments have therefore been aligned to the group's five core businesses. Group expenses and debt costs continue to be reported separately. Transactions between segments are on normal commercial terms, and are included within the reported segments. To enable comparison, segmental information for prior periods has been restated accordingly.

In the UK, annuity liabilities relating to LGRI and Retail Retirement are backed by a single portfolio of assets, and once a transaction has been completed the assets relating to any particular transaction are not tracked to the related liabilities. Investment variance is allocated to the two business segments based on the relative average size of the underlying insurance contract liabilities for the period.

Reporting of assets and liabilities by segment has not been included, as this is not information that is provided to key decision makers on a regular basis. The group's assets and liabilities are managed on a legal entity rather than a segmental basis, in line with regulatory requirements.

Financial information on the reportable segments is further broken down where relevant in order to better explain the drivers of the group's results.

(a) Profit/(loss) for the period
						Group
						expenses
				Retail		and debt
	LGRI¹	LGC	LGIM	Retirement¹	Insurance	costs	Total
For the six month period to 30 June 2022	£m	£m	£m	£m	£m	£m	£m


Operating profit/(loss)^#	560	263	200	147	185	(195)	1,160
Investment and other variances	133	(308)	(7)	53	617	(281)	207
Losses attributable to non-controlling interests	-	-	-	-	-	-	-

Profit/(loss) before tax attributable to equity holders	693	(45)	193	200	802	(476)	1,367
Tax (expense)/credit attributable to equity holders	(88)	2	(39)	(24)	(162)	97	(214)


Profit/(loss) for the period	605	(43)	154	176	640	(379)	1,153



						Group
						expenses
				Retail		and debt
	LGRI¹	LGC	LGIM	Retirement¹	Insurance	costs	Total
For the six month period to 30 June 2021	£m	£m	£m	£m	£m	£m	£m


Operating profit/(loss)^#	525	250	204	158	134	(192)	1,079
Investment and other variances	75	48	(7)	30	230	(132)	244
Losses attributable to non-controlling interests	-	-	-	-	-	(3)	(3)


Profit/(loss) before tax attributable to equity holders	600	298	197	188	364	(327)	1,320
Tax (expense)/credit attributable to equity holders	(110)	(54)	(44)	(35)	(91)	76	(258)


Profit/(loss) for the period	490	244	153	153	273	(251)	1,062


						Group
						expenses
				Retail		and debt
	LGRI¹	LGC	LGIM	Retirement¹	Insurance	costs	Total
For the year ended 31 December 2021	£m	£m	£m	£m	£m	£m	£m


Operating profit/(loss)^#	1,154	461	422	352	268	(395)	2,262
Investment and other variances	193	19	(11)	49	111	(128)	233
Losses attributable to non-controlling interests	-	-	-	-	-	(7)	(7)


Profit/(loss) before tax attributable to equity holders	1,347	480	411	401	379	(530)	2,488
Tax (expense)/credit attributable to equity holders	(213)	(93)	(79)	(63)	(59)	62	(445)


Profit/(loss) for the year	1,134	387	332	338	320	(468)	2,043

1. From 1 January 2022, following changes to business unit responsibilities within the Executive Committee, the group's reportable segments have been updated to align with its five core businesses. Prior period comparatives have been restated to reflect this change in segmentation.

# All references to 'Operating profit' throughout this report represent 'Adjusted operating profit', an alternative performance measure defined in the glossary.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosures on performance and Release from operations Page 43

2.08 Segmental analysis (continued)

(b) Revenue

(i) Total revenue
					6 months		6 months		Full year
					2022		2021		2021
					£m		£m		£m


Total income					(69,188)		14,898		45,450
Adjusted for:
Share of profit from associates and joint ventures, net of tax					(4)		(21)		(25)
Gain on disposal of subsidiaries, associates and joint ventures, and other operations					(10)		-		(149)


Total revenue					(69,202)		14,877		45,276



(ii) Total income




			Retail			LGC and
	LGRI¹	LGIM^2,3	Retirement¹	Insurance		other⁴		Total
For the six month period to 30 June 2022	£m	£m	£m	£m		£m		£m


Internal income	-	92	-	-		(92)		-
External income	(6,845)	(61,289)	(2,688)	1,007		627		(69,188)


Total income	(6,845)	(61,197)	(2,688)	1,007		535		(69,188)



			Retail			LGC and
	LGRI¹	LGIM^2,3	Retirement¹	Insurance		other⁴		Total
For the six month period to 30 June 2021	£m	£m	£m	£m		£m		£m


Internal income	-	80	-	-		(80)		-
External income	(20)	17,891	7	1,003		(3,983)		14,898


Total income	(20)	17,971	7	1,003		(4,063)		14,898




			Retail			LGC and
	LGRI¹	LGIM^2,3	Retirement¹	Insurance		other⁴		Total
For the year ended 31 December 2021	£m	£m	£m	£m		£m		£m


Internal income	-	179	-	-		(179)		-
External income	4,842	35,738	1,117	2,029		1,724		45,450


Total income	4,842	35,917	1,117	2,029		1,545		45,450


1. From 1 January 2022, following changes to business unit responsibilities within the Executive Committee, the group's reportable segments have been updated to align with its five core businesses. Prior period comparatives have been restated to reflect this change in segmentation.
2. LGIM internal income relates to investment management services provided to other segments.
3. LGIM external income primarily includes fees from fund management and investment returns on unit linked funds.
4. LGC and other includes LGC income, intra-segmental eliminations and group consolidation adjustments.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosures on performance and Release from operations Page 44

2.08 Segmental analysis (continued)

(b) Revenue (continued)

(iii) Fees from fund management and investment contracts

		Retail	LGC and other²
	LGIM	Retirement¹	LGC and other²	Total
For the six month period to 30 June 2022	£m	£m	£m	£m


Investment contracts	-	49	-	49
Investment management fees	495	-	(92)	403
Transaction fees	9	-	-	9


Total fees from fund management and investment contracts³	504	49	(92)	461


		Retail	LGC and other²
	LGIM	Retirement¹	LGC and other²	Total
For the six month period to 30 June 2021	£m	£m	£m	£m


Investment contracts	-	46	-	46
Investment management fees	488	-	(80)	408
Transaction fees	9	-	-	9


Total fees from fund management and investment contracts³	497	46	(80)	463


		Retail	LGC and other²
	LGIM	Retirement¹	LGC and other²	Total
For the year ended 31 December 2021	£m	£m	£m	£m


Investment contracts	-	97	-	97
Investment management fees	1,009	-	(179)	830
Transaction fees	32	-	-	32


Total fees from fund management and investment contracts³	1,041	97	(179)	959


1. From 1 January 2022, following changes to business unit responsibilities within the Executive Committee, the group's reportable segments have been updated to align with its five core businesses. Prior period comparatives have been restated to reflect this change in segmentation.
2. LGC and other includes LGC income, intra-segmental eliminations and group consolidation adjustments.
3. Fees from fund management and investment contracts are a component of Total revenue disclosed in Note 2.08 (b)(i).

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosures on performance and Release from operations Page 45

2.08 Segmental analysis (continued)

(b) Revenue (continued)

(iv) Other operational income from contracts with customers



	Retail		LGC and other
	Retirement¹	Insurance	LGC and other	Total
For the six month period to 30 June 2022	£m	£m	£m	£m


House building	-	-	763	763
Professional services fees	4	41	-	45
Insurance broker	-	21	-	21


Total other operational income from contracts with customers²	4	62	763	829


	Retail		LGC and other
	Retirement¹	Insurance	LGC and other	Total
For the six month period to 30 June 2021	£m	£m	£m	£m


House building	-	-	651	651
Professional services fees	1	49	-	50
Insurance broker	-	2	-	2


Total other operational income from contracts with customers²	1	51	651	703


	Retail		LGC and other
	Retirement¹	Insurance	LGC and other	Total
For the year ended 31 December 2021	£m	£m	£m	£m


House building	-	-	1,314	1,314
Professional services fees	5	89	-	94
Insurance broker	-	11	-	11


Total other operational income from contracts with customers²	5	100	1,314	1,419


1. From 1 January 2022, following changes to business unit responsibilities within the Executive Committee, the group's reportable segments have been updated to align with its five core businesses. Prior period comparatives have been restated to reflect this change in segmentation.
2. Total other operational income from contracts with customers is a component of Total revenue disclosed in Note 2.08 (b)(i) and excludes the share of profit/loss from associates and joint ventures, and the gain on disposal of subsidiaries, associates and joint ventures, and other operations.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Primary Financial Statements Page 46

3.01 Consolidated Income Statement

		6 months	6 months	Full year
		2022	2021	2021
For the six month period to 30 June 2022	Notes	£m	£m	£m


Income
Gross written premiums		6,612	4,263	10,375
Outward reinsurance premiums		(1,576)	(1,605)	(3,446)
Net change in provision for unearned premiums		8	35	42


Net premiums earned		5,044	2,693	6,971
Fees from fund management and investment contracts		461	463	959
Investment return		(75,536)	11,018	35,927
Other operational income		843	724	1,593


Total income	2.08	(69,188)	14,898	45,450


Expenses
Claims and change in insurance contract liabilities		(10,371)	540	7,353
Reinsurance recoveries		(295)	(1,313)	(2,968)


Net claims and change in insurance contract liabilities		(10,666)	(773)	4,385
Change in investment contract liabilities		(62,297)	12,232	34,206
Acquisition costs		416	436	825
Finance costs		145	157	294
Other expenses		1,774	1,445	3,108


Total expenses		(70,628)	13,497	42,818


Profit before tax		1,440	1,401	2,632
Tax expense attributable to policyholder returns		(73)	(81)	(144)


Profit before tax attributable to equity holders		1,367	1,320	2,488


Total tax expense		(287)	(339)	(589)
Tax expense attributable to policyholder returns		73	81	144


Tax expense attributable to equity holders	4.04	(214)	(258)	(445)


Profit for the period		1,153	1,062	2,043


Attributable to:
Non-controlling interests		-	(3)	(7)
Equity holders		1,153	1,065	2,050



Dividend distributions to equity holders during the period	4.02	792	754	1,063
Dividend distributions to equity holders proposed after the period end	4.02	324	309	790



		p	p	p
Total basic earnings per share¹	2.07	19.28	17.78	34.19
Total diluted earnings per share¹	2.07	18.37	16.96	32.57

1. All earnings per share calculations are based on profit attributable to equity holders of the company.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Primary Financial Statements Page 47

3.02 Consolidated Statement of Comprehensive Income

	6 months	6 months	Full year
	2022	2021	2021
For the six month period to 30 June 2022	£m	£m	£m


Profit for the period	1,153	1,062	2,043
Items that will not be reclassified subsequently to profit or loss
Actuarial remeasurements on defined benefit pension schemes	387	116	53
Tax (expense)/credit on actuarial remeasurements on defined benefit pension schemes	(97)	(20)	(7)


Total items that will not be reclassified subsequently to profit or loss	290	96	46


Items that may be reclassified subsequently to profit or loss
Exchange differences on translation of overseas operations	84	(11)	(11)
Movement in cross-currency hedge	5	6	20
Tax expense on movement in cross-currency hedge	(1)	(4)	(7)
Movement in financial investments designated as available-for-sale	3	(8)	(3)
Tax on movement in financial investments designated as available-for-sale	(1)	1	-


Total items that may be reclassified subsequently to profit or loss	90	(16)	(1)


Other comprehensive income after tax	380	80	45


Total comprehensive income for the period	1,533	1,142	2,088


Total comprehensive income/(expense) for the period attributable to:
Non-controlling interests	-	(3)	(7)
Equity holders	1,533	1,145	2,095

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Primary Financial Statements Page 48

3.03 Consolidated Balance Sheet

		As at	As at	As at
		30 Jun 2022	30 Jun 2021	31 Dec 2021
	Notes	£m	£m	£m


Assets
Goodwill		71	68	68
Other intangible assets		406	377	365
Deferred acquisition costs		26	46	26
Investment in associates and joint ventures accounted for using the equity method		387	314	375
Property, plant and equipment		311	322	316
Investment property	4.03	10,976	9,080	10,150
Financial investments	4.03	462,329	519,762	538,374
Reinsurers' share of contract liabilities		6,040	6,947	7,180
Deferred tax assets	4.04	115	12	2
Current tax assets		699	612	670
Receivables and other assets		17,857	14,331	8,625
Cash and cash equivalents		24,774	16,397	16,487


Total assets		523,991	568,268	582,638



Equity
Share capital	4.05	149	149	149
Share premium	4.05	1,017	1,011	1,012
Employee scheme treasury shares		(138)	(90)	(99)
Capital redemption and other reserves		381	162	196
Retained earnings		9,775	8,620	9,228


Attributable to owners of the parent		11,184	9,852	10,486
Restricted Tier 1 convertible notes	4.06	495	495	495
Non-controlling interests	4.07	(36)	(34)	(38)


Total equity		11,643	10,313	10,943



Liabilities
Insurance contract liabilities		76,889	86,339	89,825
Investment contract liabilities		305,780	358,613	372,954
Core borrowings	4.08	4,356	4,542	4,256
Operational borrowings	4.09	1,182	1,138	932
Provisions	4.13	781	1,113	1,238
Deferred tax liabilities	4.04	407	277	251
Current tax liabilities		81	57	84
Payables and other financial liabilities	4.11	95,970	80,785	74,264
Other liabilities		894	640	925
Net asset value attributable to unit holders		26,008	24,451	26,966


Total liabilities		512,348	557,955	571,695


Total equity and liabilities		523,991	568,268	582,638

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Primary Financial Statements Page 49

3.04 Condensed Consolidated Statement of Changes in Equity


			Employee	Capital		Equity	Restricted
			scheme	redemption		attributable	Tier 1	Non-
	Share	Share	treasury	and other	Retained	to owners	convertible	controlling	Total
For the six month period to 30 June 2022	capital	premium	shares	reserves¹	earnings	of the parent	notes	interests	equity
For the six month period to 30 June 2022	£m	£m	£m	£m	£m	£m	£m	£m	£m


As at 1 January 2022	149	1,012	(99)	196	9,228	10,486	495	(38)	10,943


Total comprehensive income for the period	-	-	-	90	1,443	1,533	-	-	1,533
Options exercised under share option schemes	-	5	-	-	-	5	-	-	5
Net movement in employee scheme treasury shares	-	-	(39)	(8)	10	(37)	-	-	(37)
Dividends	-	-	-	-	(792)	(792)	-	-	(792)
Coupon payable in respect of restricted Tier 1 convertible notes net of tax relief	-	-	-	-	(11)	(11)	-	-	(11)
Movement in third party interests	-	-	-	-	-	-	-	2	2
Currency translation differences	-	-	-	103	(103)	-	-	-	-


As at 30 June 2022	149	1,017	(138)	381	9,775	11,184	495	(36)	11,643


1. Capital redemption and other reserves as at 30 June 2022 include share-based payments £78m, foreign exchange £233m, capital redemption £17m, hedging £52m and available-for-sale reserves £1m.




			Employee	Capital		Equity	Restricted
			scheme	redemption		attributable	Tier 1	Non-
	Share	Share	treasury	and other	Retained	to owners	convertible	controlling	Total
For the six month period to 30 June 2021	capital	premium	shares	reserves¹	earnings	of the parent	notes	interests	equity
For the six month period to 30 June 2021	£m	£m	£m	£m	£m	£m	£m	£m	£m


As at 1 January 2021	149	1,006	(75)	198	8,224	9,502	495	(31)	9,966

Total comprehensive income for the period	-	-	-	(16)	1,161	1,145	-	(3)	1,142
Options exercised under share option schemes	-	5	-	-	-	5	-	-	5
Net movement in employee scheme treasury shares	-	-	(15)	(15)	(5)	(35)	-	-	(35)
Dividends	-	-	-	-	(754)	(754)	-	-	(754)
Coupon payable in respect of restricted Tier 1 convertible notes net of tax relief	-	-	-	-	(11)	(11)	-	-	(11)
Currency translation differences	-	-	-	(5)	5	-	-	-	-


As at 30 June 2021	149	1,011	(90)	162	8,620	9,852	495	(34)	10,313



1. Capital redemption and other reserves as at 30 June 2021 include share-based payments £86m, foreign exchange £27m, capital redemption £17m, hedging £37m and available-for-sale reserves £(5)m.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Primary Financial Statements Page 50

3.04 Condensed Consolidated Statement of Changes in Equity (continued)


			Employee	Capital		Equity	Restricted
			scheme	redemption		attributable	Tier 1	Non-
	Share	Share	treasury	and other	Retained	to owners	convertible	controlling	Total
For the year ended 31 December 2021	capital	premium	shares	reserves¹	earnings	of the parent	notes	interests	equity
For the year ended 31 December 2021	£m	£m	£m	£m	£m	£m	£m	£m	£m


As at 1 January 2021	149	1,006	(75)	198	8,224	9,502	495	(31)	9,966


Total comprehensive income for the year	-	-	-	(1)	2,096	2,095	-	(7)	2,088
Options exercised under share option schemes	-	6	-	-	-	6	-	-	6
Net movement in employee scheme treasury shares	-	-	(24)	(15)	8	(31)	-	-	(31)
Dividends	-	-	-	-	(1,063)	(1,063)	-	-	(1,063)
Coupon payable in respect of restricted Tier 1 convertible notes net of tax relief	-	-	-	-	(23)	(23)	-	-	(23)
Currency translation differences	-	-	-	14	(14)	-	-	-	-


As at 31 December 2021	149	1,012	(99)	196	9,228	10,486	495	(38)	10,943



1. Capital redemption and other reserves as at 31 December 2021 include share-based payments £86m, foreign exchange £46m, capital redemption £17m, hedging £48m and available-for-sale reserves £(1)m.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Primary Financial Statements Page 51

3.05 Consolidated Statement of Cash Flows

		6 months	6 months	Full year
		2022	2021	2021
For the six month period to 30 June 2022	Notes	£m	£m	£m


Cash flows from operating activities
Profit for the period		1,153	1,062	2,043
Adjustments for non cash movements in net profit for the period
Net losses/(gains) on financial investments and investment property		80,187	(5,227)	(26,062)
Investment income		(4,651)	(5,790)	(9,865)
Interest expense		145	157	294
Tax expense		287	339	589
Other adjustments		88	44	137
Net decrease/(increase) in operational assets
Investments held for trading or designated as fair value through profit or loss		14,200	5,804	4,616
Investments designated as available-for-sale		(3)	15	(21)
Other assets		(8,086)	(4,931)	139
Net (decrease)/increase in operational liabilities
Insurance contracts		(13,621)	(2,615)	726
Investment contracts		(67,182)	15,069	29,409
Other liabilities		2,481	(10,114)	(11,161)


Cash utilised in operations		4,998	(6,187)	(9,156)
Interest paid		(139)	(160)	(301)
Interest received		1,808	3,368	5,060
Rent received		185	184	373
Tax paid¹		(376)	(276)	(564)
Dividends received		2,491	2,307	4,419


Net cash flows from operations		8,967	(764)	(169)


Cash flows from investing activities
Acquisition of plant, equipment, intangibles and other assets		(60)	(137)	(205)
Disposal of plant, equipment, intangibles and other assets		-	2	-
Acquisition of operations, net of cash acquired	4.16	(2)	-	-
Disposal of subsidiaries and other operations, net of cash transferred		-	-	217
Investment in joint ventures and associates		(34)	(2)	(56)
Disposal of joint ventures and associates		40	-	177


Net cash flows (utilised)/generated from investing activities		(56)	(137)	133


Cash flows from financing activities
Dividend distributions to ordinary equity holders during the period	4.02	(792)	(754)	(1,063)
Coupon payment in respect of restricted Tier 1 convertible notes, gross of tax	4.06	(14)	(14)	(28)
Options exercised under share option schemes	4.05	5	5	6
Treasury shares purchased for employee share schemes		(50)	(24)	(34)
Payment of lease liabilities		(18)	(17)	(37)
Proceeds from borrowings	4.10	385	252	449
Repayment of borrowings	4.10	(210)	(162)	(798)

Net cash flows utilised in financing activities		(694)	(714)	(1,505)


Net increase/(decrease) in cash and cash equivalents		8,217	(1,615)	(1,541)
Exchange gains/(losses) on cash and cash equivalents		70	(8)	8
Cash and cash equivalents at 1 January		16,487	18,020	18,020


Cash and cash equivalents at 30 June/31 December		24,774	16,397	16,487


1. Tax comprises UK corporation tax paid of £223m (H1 21: £155m; FY 21: £368m), withholding tax of £147m (H1 21: £118m; FY 21: £188m) and overseas corporate tax of £6m (H1 21: £3m; FY 21: £8m).

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 52

4.01 Basis of preparation

The group financial information for the six months ended 30 June 2022 has been prepared in accordance with the Disclosure and Transparency Rules of the United Kingdom's Financial Conduct Authority and with IAS 34, 'Interim Financial Reporting'. The group's financial information has also been prepared in line with the accounting policies which the group expects to adopt for the 2022 year end. These policies are consistent with the principal accounting policies which were set out in the group's 2021 consolidated financial statements, except where changes have been outlined below in "New standards, interpretations and amendments to published standards that have been adopted by the group". These are consistent with UK-adopted international accounting standards, issued by the International Accounting Standards Board and adopted by the UK Endorsement Board for use in the United Kingdom.

The preparation of the Interim Management Report includes the use of estimates and assumptions which affect items reported in the Consolidated Balance Sheet and Income Statement and the disclosure of contingent assets and liabilities at the date of the financial statements. The economic and non-economic actuarial assumptions used to establish the liabilities in relation to insurance and investment contracts are significant. For half year financial reporting, economic assumptions have been updated to reflect market conditions. Non-economic assumptions are consistent with those used in the 31 December 2021 financial statements, except as disclosed in Note 2.03.

The results for the half year ended 30 June 2022 are unaudited but have been reviewed by KPMG LLP. The interim results do not constitute statutory accounts as defined in Section 434 of the Companies Act 2006. The results from the full year 2021 have been taken from the group's 2021 Annual Report and Accounts. Therefore, these interim accounts should be read in conjunction with the 2021 Annual Report and Accounts that have been prepared in accordance with UK-adopted international accounting standards, comprising International Accounting Standards and International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB), and related interpretations issued by the IFRS Interpretations Committee, and with the requirements of the Companies Act 2006 applicable to companies reporting under IFRS. KPMG LLP reported on the 2021 financial statements, and their report was unqualified and did not contain a statement under Section 498 (2) or (3) of the Companies Act 2006. The group's 2021 Annual Report and Accounts has been filed with the Registrar of Companies.

Key technical terms and definitions

The interim management report refers to various key performance indicators, accounting standards and other technical terms. A comprehensive list of these definitions is contained within the glossary section of these interim financial statements.

Alternative performance measures

The group uses a number of alternative performance measures (APMs), including net release from operations and adjusted operating profit, in the discussion of its business performance and financial position, as the group believes that they, complemented with figures determined according to other regulations, enhance understanding of the group's performance. Definitions and further information in relation to the group's APMs can be found in the Alternative Performance Measures section of these interim financial statements.

Tax attributable to policyholders and equity holders

The total tax expense shown in the group's Consolidated Income Statement includes income tax borne by both policyholders and shareholders. This has been split between tax attributable to policyholders' returns and equity holders' profits. Policyholder tax comprises the tax suffered on policyholder investment returns, while shareholder tax is corporation tax charged on shareholder profit. The separate presentation is intended to provide more relevant information about the tax that the group pays on the profits that it makes.

(a) Going concern

The group's business activities, together with the factors likely to affect its future development, performance and position in the current economic climate are set out in this Interim Management Report. The financial position of the group, its cash flows, liquidity position and borrowing facilities as at 30 June 2022 are described in the IFRS Primary Financial Statements and IFRS Disclosure Notes. Principal risks and uncertainties are detailed on pages 26 to 28.

The directors have made an assessment of the group's going concern, considering both the group's current performance and outlook for a period of at least, but not limited to, 12 months from the date of approval of the interim financial information using the information available up to the date of issue of this Interim Management Report.

The group manages and monitors its capital and liquidity, and applies various stresses, including high inflationary scenarios, to those positions to understand potential impacts from market downturns. Our key sensitivities and the impacts on our capital position from a range of stresses is disclosed on page 80. These stresses do not give rise to any material uncertainties over the ability of the group to continue as a going concern. Based upon the available information, the directors consider that the group has the plans and resources to manage its business risks successfully and that it remains financially strong and well diversified.

Having reassessed the principal risks and uncertainties (both financial and operational) in light of the current economic climate, as detailed on pages 26 to 28, the directors are confident that the group and company will have sufficient funds to continue to meet their liabilities as they fall due for a period of, but not limited to, 12 months from the date of approval of this Interim Management Report and therefore have considered it appropriate to adopt the going concern basis of accounting when preparing the interim financial information.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 53

4.01 Basis of preparation (continued)

(b) New standards, interpretations and amendments to published standards that have been adopted by the group

The group has applied the following amendments for the first time in its six months reporting period commencing 1 January 2022.

Annual Improvements to IFRS Standards 2018-2020

These amendments, issued in May 2020, make minor amendments to IFRS 1 'First-time Adoption of IFRS', IFRS 9 'Financial instruments', IAS 41 'Agriculture' and the Illustrative Examples accompanying IFRS 16 'Leases'. These amendments did not have a material impact on the group's consolidated financial statements.

Amendments to IAS 16 - Property, plant and equipment

These amendments, issued in May 2020, prohibit a company from deducting from the cost of property, plant and equipment amounts received from selling items produced while the company is preparing the asset for its intended use. Instead, a company will recognise such sales proceeds and related cost in profit or loss. These amendments did not have a material impact on the group's consolidated financial statements.

Amendments to IAS 37 - Provisions, contingent liabilities and contingent assets

These amendments, issued in May 2020, specify which costs a company includes when assessing whether a contract will be loss-making. These amendments did not have a material impact on the group's consolidated financial statements.

Amendments to IFRS 3 - Business Combinations

These amendments, issued in May 2020, update a reference in IFRS 3 to the Conceptual Framework for Financial Reporting without changing the accounting requirements for business combinations. These amendments did not have a material impact on the group's consolidated financial statements.

IFRS 17 - Insurance Contracts

IFRS 17, 'Insurance Contracts' was originally issued in May 2017 by the IASB, and subsequent amendments were issued in June 2020. The standard is effective for annual periods beginning on or after 1 January 2023 following endorsement for use in the UK in May 2022. The standard will be applied retrospectively, subject to the transitional options provided for in the standard and provides a comprehensive approach for accounting for insurance contracts including their measurement, income statement presentation and disclosure.

The key general principles of IFRS 17 are that an entity:

· Identifies insurance contracts as those under which the entity accepts significant insurance risk from another party (the policyholder) by agreeing to compensate the policyholder if a specified uncertain future event (the insured event) adversely affects the policyholder;

· Separates specified embedded derivatives, distinct investment components and distinct non-insurance goods or services from insurance contracts and accounts for them in accordance with other accounting standards;

· Aggregates the insurance contracts into groups it will recognise and measure;

· Recognises and measures groups of insurance contracts at:

o A risk-adjusted present value of the future cash flows (the fulfilment cash flows) that incorporates all available information about the fulfilment cash flows; and

o An amount representing the unearned profit in the group of contracts (the contractual service margin or CSM);

· Recognises profit from a group of insurance contracts over the period the group provides insurance coverage. If a group of contracts is expected to be onerous (i.e. loss making) over the remaining coverage period, a loss is recognised immediately.

IFRS 17 is an accounting change and therefore, while it will have an impact on the timing and profile of profit recognition, we expect the underlying economics and cash generation of the group's businesses to remain the same. While the group continues to refine its methodology and completes the development of models and operational capabilities, it is not possible to provide a reliable estimate of the impact of adopting IFRS 17, nor of the ongoing impact on the group's financial results. However, it is expected that there will be a significant reduction in group equity on adoption, as previously recognised profit will be deferred in the balance sheet within the insurance liability contractual service margin, and released in the future.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 54

4.01 Basis of preparation (continued)

In terms of key accounting policies and approaches relating to IFRS 17, the group is able to set out the following at this time:

· The group will be applying the General Measurement Model to all business measured under IFRS 17.

· On transition to IFRS 17, the group will apply the fully retrospective approach unless impracticable. In some instances, this will lead to the modified retrospective and fair value approaches being used for specific groups of insurance contracts.

· For annuity business the selection of a rate at which to discount future cashflows for groups of insurance contracts is a key determinant in the valuation of the insurance liability. We intend to apply a top down discount rate to such groups, starting from an appropriate asset portfolio with economic deductions.

· IFRS 17 requires an accounting policy decision as to whether to recognise all finance income or expense in profit or loss, or whether to disaggregate the income or expense that relates to changes in financial assumptions into other comprehensive income. All finance income and expense will be included in profit or loss except for protection business where we intend to disaggregate such changes.

The group has a fully mobilised and well progressed programme to implement the new standard. Work is continuing throughout 2022 to finalise technical compliance as well as to test and embed the required systems and operational capability. Communication and training plans are in place for impacted employees, and the Finance function operating model is being refined to ensure the business is ready to implement the new standard.

IFRS 9 - Financial Instruments

In July 2014, the IASB issued IFRS 9, 'Financial Instruments' which was effective for annual periods beginning on or after 1 January 2018. The standard replaces IAS 39, 'Financial Instruments: Recognition and Measurement'. It includes new principles around classification and measurement of financial instruments, introduces an impairment model based on expected credit losses (replacing the current model based on incurred losses) and new requirements on hedge accounting. The IASB subsequently issued 'Amendments to IFRS 4: Applying IFRS 9 Financial Instruments with IFRS 4 Insurance Contracts' which allows entities which meet certain requirements to defer their implementation of IFRS 9 until adoption of IFRS 17, 'Insurance Contracts' or 1 January 2021, whichever is the earlier. In June 2020, the IASB agreed to extend the temporary exemption in IFRS 4 from applying IFRS 9 to annual reporting periods beginning on or after 1 January 2023. The group qualifies for, and is making use of, this deferral option.

In December 2021, in order to alleviate operational complexities and potential one-off accounting mismatches in comparative information between insurance contract liabilities and related financial assets on the initial application of IFRS 17, the IASB issued an amendment to IFRS 17 titled 'Initial Application of IFRS 9 and IFRS 17 - Comparative Information'. If an entity applies IFRS 17 and IFRS 9 at the same time, this amendment permits it to present comparative information about financial assets derecognised in the comparative period as if the classification and measurement requirements of IFRS 9 had been applied to them. The group has chosen to restate comparative information and to apply this classification overlay to all financial assets in scope. Due to the application of the new classification and impairment requirements, the transition to IFRS 9 will generate a day-one impact on group equity, which is not expected to be significant. Similarly, the ongoing impact of IFRS 9 on the group's financial results is not expected to be significant.

IFRS 9 classifies financial assets into the following three categories: amortised cost, fair value through other comprehensive income (FVOCI) and fair value through profit or loss (FVTPL). The classification of financial assets is based on the entity's business model for managing them, as well as their contractual cash flow characteristics. The group expects to reclassify a certain amount of financial assets as a result of these assessments, in order to better align the accounting treatment of assets that are backing insurance contract liabilities under IFRS 17.

With the exception of financial assets measured under FVTPL, the group will apply an expected credit loss impairment model to all financial assets in scope (including lease receivables and contract assets). The new impairment model requires utilising not only past events and current conditions but also reasonable and supportable forward-looking information, in order to assess the credit risk profiles of those financial assets in scope. The group will recognise either twelve months or lifetime expected credit losses in the Consolidated Income Statement at each reporting period. The group intends to use the practical expedient for financial assets deemed to have low credit risk at the reporting date, which allows recognising twelve months' expected credit losses. Additionally, for trade receivables, contract assets and lease receivables, the group plans to use a provision matrix method to calculate and recognise lifetime expected credit losses.

Most requirements around financial liabilities in IAS 39 have been retained by IFRS 9. Therefore, financial liabilities are expected to be classified and measured under their current categories (either FVTPL or amortised cost).

Finally, hedge accounting requirements have been revised by replacing some of the prescriptive rules in IAS 39 with more principle-based requirements, to be better aligned with the risk management activities of an entity and reflected accordingly in the financial statements. As such, going forward more risk management strategies should be able to qualify for hedge accounting.

The group has a fully mobilised programme to implement the standard. Work will continue throughout the remainder of 2022 to finalise technical compliance as well as to test and embed the required systems and operational capability. Communication and training plans are in place for impacted employees, and the Finance function operating model is being refined to ensure the business is ready to implement the new standard.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 55

4.02 Dividends and appropriations

	Dividend	Per share¹	Dividend	Per share¹	Dividend	Per share¹
	6 months	6 months	6 months	6 months	Full year	Full year
	2022	2022	2021	2021	2021	2021
	£m	p	£m	p	£m	p


Ordinary dividends paid and charged to equity in the period:
- Final 2020 dividend paid in June 2021	-	-	754	12.64	754	12.64
- Interim 2021 dividend paid in September 2021	-	-	-	-	309	5.18
- Final 2021 dividend paid in June 2022	792	13.27	-	-	-	-


Total dividends²	792	13.27	754	12.64	1,063	17.82

1. The dividend per share calculation is based on the number of equity shares registered on the ex-dividend date.
2. The dividend proposed at 31 December 2021 was £790m based on the current number of eligible equity shares on that date.

Subsequent to 30 June 2022, the directors declared an interim dividend of 5.44 pence per ordinary share. This dividend will be paid on 26 September 2022. It will be accounted for as an appropriation of retained earnings in the year ended 31 December 2022 and is not included as a liability in the Consolidated Balance Sheet as at 30 June 2022.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 56

4.03 Financial investments and investment property

	30 Jun	30 Jun	31 Dec
	2022	2021	2021
	£m	£m	£m


Equities¹	182,847	207,803	213,049
Debt securities^2,3	237,976	278,858	296,930
Derivative assets⁴	28,017	15,449	16,792
Loans⁵	13,489	17,652	11,603

Financial investments	462,329	519,762	538,374
Investment property	10,976	9,080	10,150
Total financial investments and investment property	473,305	528,842	548,524
1. Equity securities include investments in unit trusts of £17,572m (30 June 2021: £15,681m; 31 December 2021: £18,248m).
2. Debt securities include accrued interest of £1,497m (30 June 2021: £1,389m; 31 December 2021: £1,420m).
3. A detailed analysis of debt securities to which shareholders are directly exposed is disclosed in Note 7.03.
4. Derivatives are used for efficient portfolio management, especially the use of interest rate swaps, inflation swaps, credit default swaps and foreign exchange forward contracts for asset and liability management. Derivative assets are shown gross of derivative liabilities of £34,044m (30 June 2021: £18,249m; 31 December 2021: £15,718m).
5. Loans include £101m (30 June 2021: £149m; 31 December 2021: £92m) of loans valued at amortised cost.

(a) Fair value hierarchy

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

Fair value measurements are based on observable and unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the group's view of market assumptions in the absence of observable market information. The group utilises techniques that maximise the use of observable inputs and minimise the use of unobservable inputs.

The levels of fair value measurement bases are defined as follows:

Level 1: fair values measured using quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2: fair values measured using valuation techniques for all inputs significant to the measurement other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

Level 3: fair values measured using valuation techniques for any input for the asset or liability significant to the measurement that is not based on observable market data (unobservable inputs).

All of the group's Level 2 assets have been valued using standard market pricing sources, such as IHS Markit, ICE and Bloomberg, or Index Providers such as Barclays, Merrill Lynch or JPMorgan. Each uses mathematical modeling and multiple source validation in order to determine consensus prices, with the exception of OTC Derivative holdings; OTCs are marked to market using an in-house system (Lombard Oberon), external vendor (IHS Markit), internal model or Counterparty Broker marks. In normal market conditions, we would consider these market prices to be observable market prices. Following consultation with our pricing providers and a number of their contributing brokers, we have considered that these prices are not from a suitably active market and have therefore classified them as Level 2.

The group's investment properties are valued by appropriately qualified external valuers using unobservable inputs, resulting in all investment property being classified as Level 3.

The group's policy is to re-assess categorisation of financial assets at the end of each reporting period and to recognise transfers between levels at that point in time. At 30 June 2022 debt securities totalling net £0.8bn transferred from Level 1 to Level 2 in the fair value hierarchy.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 57

4.03 Financial investments and investment property (continued)

(a) Fair value hierarchy (continued)

	Total	Level 1	Level 2	Level 3
For the six month period to 30 June 2022	£m	£m	£m	£m


Shareholder¹
Equity securities	3,492	1,995	22	1,475
Debt securities	76,814	27,622	27,265	21,927
Derivative assets	25,071	6	25,065	-
Loans at fair value²	1,701	-	1,701	-
Investment property	6,156	-	-	6,156

Total Shareholder	113,234	29,623	54,053	29,558

Unit linked
Equity securities	179,355	178,691	25	639
Debt securities	161,162	129,689	30,836	637
Derivative assets	2,946	125	2,821	-
Loans at fair value	11,687	-	11,687	-
Investment property	4,820	-	-	4,820

Total Unit linked	359,970	308,505	45,369	6,096


Total financial investments and investment property at fair value²	473,204	338,128	99,422	35,654



	Total	Level 1	Level 2	Level 3
For the six month period to 30 June 2021	£m	£m	£m	£m


Shareholder¹
Equity securities	3,088	1,821	4	1,263
Debt securities	82,699	34,034	26,375	22,290
Derivative assets	14,019	2	14,017	-
Loans at fair value²	4,152	-	4,152	-
Investment property	5,103	-	-	5,103

Total Shareholder	109,061	35,857	44,548	28,656

Unit linked
Equity securities	204,715	204,055	23	637
Debt securities	196,159	146,780	49,029	350
Derivative assets	1,430	89	1,341	-
Loans at fair value	13,351	-	13,351	-
Investment property	3,977	-	-	3,977


Total Unit linked	419,632	350,924	63,744	4,964


Total financial investments and investment property at fair value²	528,693	386,781	108,292	33,620


1. All non-unit linked assets are classified as Shareholder assets. Shareholders of the group are directly exposed to market and credit risk on those assets including those backing the non-profit-non-unit linked business.
2. The above tables exclude loans (including accrued interest) of £101m, which are held at amortised cost (30 June 2021: £149m).

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 58

4.03 Financial investments and investment property (continued)

(a) Fair value hierarchy (continued)

	Total	Level 1	Level 2	Level 3
For the year ended 31 December 2021	£m	£m	£m	£m


Shareholder¹
Equity securities	3,185	1,854	63	1,268
Debt securities	86,803	32,593	29,887	24,323
Derivative assets	13,203	9	13,194	-
Loans at fair value²	2,240	-	2,240	-
Investment property	5,710	-	-	5,710


Total Shareholder	111,141	34,456	45,384	31,301

Unit linked
Equity securities	209,864	209,119	25	720
Debt securities	210,127	170,838	38,726	563
Derivative assets	3,589	90	3,499	-
Loans at fair value	9,271	-	9,271	-
Investment property	4,440	-	-	4,440


Total Unit linked	437,291	380,047	51,521	5,723


Total financial investments and investment property at fair value²	548,432	414,503	96,905	37,024


1. All non-unit linked assets are classified as Shareholder assets. Shareholders of the group are directly exposed to market and credit risk on those assets including those backing the non-profit-non-unit linked business.
2. This table excludes loans (including accrued interest) of £92m, which are held at amortised cost.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 59

4.03 Financial investments and investment property (continued)

(b) Level 3 assets measured at fair value

Level 3 assets, where modelling techniques are used, comprise property, unquoted securities, untraded debt securities and securities where unquoted prices are provided by a single broker. Unquoted securities include suspended securities, investments in private equity and property vehicles. Untraded debt securities include private placements, commercial real estate loans, income strips, retirement interest only and other lifetime mortgages.

In many situations, inputs used to measure the fair value of an asset or liability may fall into different levels of the fair value hierarchy. In these situations, the group determines the level in which the fair value falls based upon the lowest level input that is significant to the determination of the fair value. As a result, both observable and unobservable inputs may be used in the determination of fair values that the group has classified within Level 3.

The group determines the fair values of certain financial assets and liabilities based on quoted market prices, where available. The group also determines fair value based on estimated future cash flows discounted at the appropriate current market rate. As appropriate, fair values reflect adjustments for counterparty credit quality, the group's credit standing, liquidity and risk margins on unobservable inputs.
Fair values are subject to a control framework designed to ensure that input variables and outputs are assessed independent of the risk taker. These inputs and outputs are reviewed and approved by a valuation committee and validated independently as appropriate.
Climate risk
The group's asset portfolio can be exposed to climate change through both: • Transition risks from the move to a low-carbon economy and the impact this has on asset valuation and the wider economic environment; and • Physical risks from the impact on asset holdings as a result of severe weather events and longer-term shifts in climate. Exposure to the physical risks of climate change are minimised in the direct investment portfolio through rigorous assessment of potential investments, particularly in ensuring there is low susceptibility to extreme weather events. The group monitors the carbon intensity of the investments held at a portfolio level to help understand the environmental impact and reduce high carbon intensive investments in the future. Further detail can be found in our Climate Report (TCFD). The group's assets are valued, where possible, using standard market pricing sources or appropriately qualified external valuers and therefore reflect current market sentiments in respect of climate risk.

Equity securities
Level 3 equity securities amount to £2,114m (30 June 2021: £1,900m; 31 December 2021: £1,988m), of which the majority is made up of holdings in investment property vehicles and private investment funds. They are valued at the proportion of the group's holding of the Net Asset Value reported by the investment vehicles. Other equity securities are valued by a number of third party specialists using a range of techniques which are often dependent on the maturity of the underlying investment but can also depend of the characteristics of individual investments. Such techniques include transaction values underpinned by analysis of milestone achievement, and cash runway for early/start-up stage investments, discounted cash flow models for investments at the next stage of development and earnings multiples for more mature investments.

Other financial investments
Lifetime mortgage (LTM) loans and retirement interest only mortgages amount to £5,758m (30 June 2021: £6,325m; 31 December 2021: £6,857m). Lifetime mortgages are valued using a discounted cash flow model by projecting best-estimate net asset proceeds and discounted using rates inferred from current LTM loan pricing. The inferred illiquidity premiums for the majority of the portfolio range between 100 and 250bps. This ensures the value of loans at outset is consistent with the purchase price of the loan, and achieves consistency between new and in-force loans. The mortgages include a no negative equity guarantee (NNEG) to borrowers. This ensures that if there is a shortfall between the sale proceeds of the property and the outstanding loan balance on redemption of the loan, the value of the loan will be reduced by this amount. The NNEG on loan redemption is valued as a series of put options, which we calculate using a variant of the Black-Scholes formula. Key assumptions in the valuation of lifetime mortgages include short-term and long-term property growth rates, property index volatility, voluntary early repayments and longevity assumptions. The valuation as at 30 June 2022 reflects a long-term property growth rate assumption of 2.9% annually, after allowing for the effects of dilapidation. The values of the properties collateralising the LTM loans are updated from the date of the last property valuation to the valuation date by indexing using UK regional house price indices.

Private credit loans (including commercial real estate loans) amount to £12,115m (30 June 2021: £12,232m; 31 December 2021: £13,521m). Their valuation is determined by discounted future cash flows which are based on the yield curve of the LGIM approved comparable bonds and the initial spread, both of which are agreed by IHS Markit who also provide an independent valuation of comparable bonds. Unobservable inputs that go into the determination of comparators include: rating, sector, sub-sector, performance dynamics, financing structure and duration of investment. Existing private credit investments, which were executed back as far as 2011, are subject to a range of interest rate formats, although the majority are fixed rate. The weighted average duration of the portfolio is 9.1 years, with a weighted average life of 11.9 years. Maturities in the portfolio currently extend out to 2064. The private credit portfolio of assets has internal ratings assigned by an independent credit team in line with internally developed methodologies. These credit ratings range from AAA to BB-.

Private placements held by the US business amount to £1,932m (30 June 2021: £2,090m; 31 December 2021: £1,762m). They are valued using a pricing matrix comprised of a public spread matrix, internal ratings assigned to each holding, average life of each holding, and a premium spread matrix. These are added to the risk-free rate to calculate the discounted cash flows and establish a market value for each investment grade private placement. The valuation as at 30 June 2022 reflects illiquidity premiums between 10 and 70bps.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 60

4.03 Financial investments and investment property (continued)

(b) Level 3 assets measured at fair value (continued)

Commercial mortgage loans amount to £1,080m (30 June 2021: £408m; 31 December 2021: £1,021m) and are determined by incorporating credit risk for performing loans at the portfolio level and for loans identified to be distressed at the loan level. The projected cash flows of each loan are discounted along stochastic risk free rate paths and are inclusive of an Option Adjusted Spread (OAS), derived from current internal pricing on new loans, along with the best observable inputs. The valuation as at 30 June 2022 reflects illiquidity premiums between 20 and 30bps.

Income strip assets amount to £1,580m (30 June 2021: £1,527m; 31 December 2021: £1,626m). Their valuation is outsourced to Knight Frank and CBRE who apply a yield to maturity to discounted future cash flows to derive valuations. The overall valuation takes into account the property location, tenant details, tenure, rent, rental break terms, lease expiries and underlying residual value of the property. The valuation as at 30 June 2022 reflects equivalent yield ranges between 2% and 7% and estimated rental values (ERV) between £16 and £310 per sq.ft.

Other debt securities which are not traded in an active market amount to £100m (30 June 2021: £143m; 31 December 2021: £99m). They have been valued using third party or counterparty valuations, and these prices are considered to be unobservable due to infrequent market transactions.

Investment property

Level 3 investment property amounting to £10,976m (30 June 2021: £9,080m; 31 December 2021: £10,150m) is valued with the involvement of external valuers. All property valuations are carried out in accordance with the latest edition of the Valuation Standards published by the Royal Institute of Chartered Surveyors, and are undertaken by appropriately qualified valuers as defined therein. Whilst transaction evidence underpins the valuation process, the definition of market value, including the commentary, in practice requires the valuer to reflect the realities of the current market. In this context valuers must use their market knowledge and professional judgement and not rely only upon historic market sentiment based on historic transactional comparables.

The valuation of investment properties also includes an income approach that is based on current rental income plus anticipated uplifts, where the uplift and discount rates are derived from rates implied by recent market transactions. These inputs are deemed unobservable. The valuation as at 30 June 2022 reflects equivalent yield ranges between 2% and 16% and ERV between £1 and £396 per sq.ft.

The below table breaks down the investment property by sector.
	30 Jun	30 Jun	31 Dec
	2022	2021	2021
	£m	£m	£m
Retail	951	962	1,025
Leisure	505	453	482
Distribution	1,613	1,277	1,552
Office space	4,688	3,832	4,223
Industrial and other commercial	2,005	1,803	1,767
Accommodation	1,214	753	1,101
Total investment property	10,976	9,080	10,150

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 61

4.03 Financial investments and investment property (continued)

(b) Level 3 assets measured at fair value (continued)


		Other				Other
	Equity	financial	Investment		Equity	financial	Investment
	securities	investments	property	Total	securities	investments	property	Total
	2022	2022	2022	2022	2021	2021	2021	2021
	£m	£m	£m	£m	£m	£m	£m	£m


As at 1 January	1,988	24,886	10,150	37,024	1,801	21,957	8,475	32,233
Total gains/(losses) for the period
- in other comprehensive income	-	3	-	3	-	(8)	-	(8)
- realised gains/(losses)¹	6	(5)	30	31	1	(9)	-	(8)
- unrealised gains/(losses)¹	144	(3,643)	571	(2,928)	97	(422)	249	(76)
Purchases/Additions	179	2,110	330	2,619	90	2,007	449	2,546
Sales/Disposals	(266)	(1,105)	(105)	(1,476)	(59)	(821)	(93)	(973)
Transfers into Level 3	67	-	-	67	-	8	-	8
Transfers out of Level 3	(10)	-	-	(10)	(30)	(44)	-	(74)
Foreign exchange rate movements	6	318	-	324	-	(28)	-	(28)

As at 30 June	2,114	22,564	10,976	35,654	1,900	22,640	9,080	33,620



						Other
					Equity	financial	Investment
					securities	investments	property	Total
					2021	2021	2021	2021
					£m	£m	£m	£m


As at 1 January					1,801	21,957	8,475	32,233
Total gains/(losses) for the year
- in other comprehensive income					-	(3)	-	(3)
- realised gains/(losses)¹					31	12	(4)	39
- unrealised gains or (losses)¹					208	(87)	1,028	1,149
Purchases/Additions					130	5,429	985	6,544
Sales/Disposals					(153)	(2,351)	(334)	(2,838)
Transfers into Level 3					2	10	-	12
Transfers out of Level 3					(31)	(112)	-	(143)
Foreign exchange rate movements					-	31	-	31

As at 31 December					1,988	24,886	10,150	37,024


1. Realised and unrealised gains/(losses) are recognised in investment return in the Consolidated Income Statement.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 62

4.03 Financial investments and investment property (continued)

Fair values of financial instruments are, in certain circumstances, measured using valuation techniques that incorporate assumptions that are not evidenced by prices from observable current market transactions in the same instrument and are not based on observable market data.

Where material, the group assesses the sensitivity of fair values of Level 3 investments to changes in unobservable inputs to reasonable alternative assumptions. The table below shows the impact of applying these sensitivities on the fair value of Level 3 assets as at 30 June 2022. Further disclosure on how these sensitivities have been applied can be found in the descriptions following the table.

		Sensitivities
	Fair value 30 June 2022 £m	Positive impact £m	Negative impact £m
Lifetime mortgages	5,758	216	(216)
Private credit portfolios	15,127	821	(821)
Investment property	10,976	915	(1,075)
Other investments¹	3,793	339	(274)
Total Level 3 assets	35,654	2,291	(2,386)

1. Other investments include Level 3 equity securities, income strip assets and other traded debt securities which are Level 3.

The sensitivities are not a function of sensitising a single variable relating to the valuation of the asset, but rather a function of flexing multiple factors often at individual asset level. The following sets out a number of key factors by asset type, and how they have been flexed to derive reasonable alternative valuations.

Lifetime mortgages
Key assumptions used in the valuation of Lifetime mortgage assets are listed in Note 4.03 (b) and sensitivities are applied to each assumption to arrive at the overall sensitised values in the above table. The most significant sensitivity by value is +/-10% instant reduction in property valuation across the portfolio which, applied in isolation produces sensitised values of £71m and £(143)m.
Private credit portfolios
The sensitivity in the private credit portfolio has been determined through a method which estimates investment spread value premium differences as compared to the institutional investment market. Individual investment characteristics of each holding, such as credit rating and duration are used to determine spread differentials for the purposes of determining alternate values. Spread differentials are determined to be lower for highly rated and/or shorter duration assets as compared to lower rated and/or longer duration assets. A significant component of the spread differential is in relation to the selection of comparator bonds, which is the potential difference in spread of the basket of relevant comparators determined by respective investors. If we were to take an AA rated asset it may attract a spread differential of 15bps on the selection of comparator bonds as opposed to 40bps for a similar duration BBB rated asset. Applied in isolation the sensitivity used to reflect the spread in comparator bond selection results in sensitised values of £274m and £(274)m.

Investment property
Investment property holdings are valued by independent valuers on the basis of open market value as defined in the appraisal and valuation manual of the Royal Institute of Chartered Surveyors (RICS). As such, sensitivities are calculated through a mixture of asset level and portfolio level methodologies which make reference to individual investment characteristics of the holding but do not flex individual assumptions used by the independent expert in valuing the holdings. Each method is applied individually and aggregated with equal weighting to determine the overall sensitivity determined for the portfolio. One method is similar to that used in the private credit portfolio as it determines the impact of an alternate property yield determined in reference to credit ratings, remaining term and other characteristics of each holding. In this methodology we would apply a lower yield sensitivity to a highly rated and/or shorter remaining term asset compared with a lower rated and/or longer remaining term asset. If we were to take an AA rated asset with remaining term of 25 years in normal market conditions this would lead to a 15bps yield flex (as opposed to a 35bps yield flex for a BBB rated asset with 30 year remaining term). The methodology which leads to the most significant sensitivity at the balance sheet date is related to an example in case law where it was found that an acceptable margin of error in a valuation dispute is 10% either way, subject to the valuation being undertaken with due care. If this sensitivity were to be taken without a weighting it would produce sensitised values of £723m and £(723)m.

It should be noted that some sensitivities described above are non-linear, and larger or smaller impacts should not be interpolated or extrapolated from these results.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 63

4.04 Tax

(a) Tax expense in the Consolidated Income Statement

The tax expense attributable to equity holders differs from the tax calculated at the standard UK corporation tax rate as follows:


	6 months	6 months	Full year
	2022	2021	2021
	£m	£m	£m


Profit before tax attributable to equity holders	1,367	1,320	2,488
Tax calculated at 19.00%	260	251	473

Adjusted for the effects of:
Recurring reconciling items:
(Lower)/higher rate of tax on profits taxed overseas¹	(32)	(32)	(104)
Non-deductible expenses	-	4	6
Differences between taxable and accounting investment gains	(6)	(9)	(13)
Foreign tax	1	-	-
Unrecognised tax losses	1	-	1
Other	3	-	-

Non-recurring reconciling items:
Adjustments in respect of prior years²	(1)	12	24
Impact of the revaluation of deferred tax balances³	(12)	32	58


Tax expense attributable to equity holders	214	258	445


Equity holders' effective tax rate	15.7%	19.5%	17.9%

1. The lower rate of tax on overseas profits is principally driven by the 0% rate of taxation arising in our Bermudan reinsurance company, which provides the group with regulatory capital flexibility for both our PRT business and our US term insurance business. This also includes the impact of our US operations which are taxed at 21%.
2. Adjustments in respect of prior years relate to revisions of prior estimates.
3. The Finance Act 2021 increased the rate of corporation tax from 19% to 25% from 1 April 2023. The prevailing rate of UK corporation tax for the year remained at 19%. The future enacted tax rate of 25% has been used in the calculation of UK deferred tax assets and liabilities in respect of temporary differences arising in the period, being the rate of corporation tax that is expected to apply when the majority of those deferred tax balances reverse.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 64

4.04 Tax (continued)

(b) Deferred tax
	30 Jun 2022	30 Jun 2021	31 Dec 2021
Deferred tax (liabilities)/assets	£m	£m	£m


Overseas deferred acquisition expenses	110	88	95
Difference between the tax and accounting value of insurance contracts	(901)	(652)	(695)
- UK	(198)	(231)	(269)
- Overseas	(703)	(421)	(426)
Realised and unrealised gains on investments¹	79	(22)	(83)
Excess of depreciation over capital allowances	20	23	22
Excess expenses	-	1	-
Accounting provisions and other	32	(37)	55
Trading losses²	410	320	348
Pension fund deficit	(42)	15	9
Acquired intangibles	-	(1)	-


Net deferred tax liabilities	(292)	(265)	(249)


Analysed by:

- Deferred tax assets¹
- Deferred tax assets¹	115	12	2
- UK deferred tax liabilities	(218)	(209)	(215)
- Overseas deferred tax liabilities²	(189)	(68)	(36)


Net deferred tax liabilities	(292)	(265)	(249)


1. The deferred tax asset represents £113m of US unrealised losses on investments (H1 21: £nil; FY 21: £nil) and £2m of UK restricted losses (H1 21: £12m; FY 21: £2m) that are not capable of being offset against other deferred tax liabilities or future trading profits.
2. Trading losses include UK trade and US operating losses of £3m (H1 21: £12m; FY 21: £2m) and £407m (H1 21: £308m; FY 21: £346m) respectively. Overseas net deferred tax liabilities is wholly comprised of US balances as at 30 June 2022 and includes the US deferred tax asset. The losses are not time restricted, and we expect to recover them over a period of 15 to 20 years, commensurate with the lifecycle of the underlying insurance contracts. In reaching this conclusion, we have considered past results, the different basis under which US companies are taxed, temporary differences that are expected to generate future profits against which the deferred tax can be offset, management actions, and future profit forecasts. The recoverability of deferred tax assets is routinely reviewed by management.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 65

4.05 Share capital and share premium


			Number of
Authorised share capital			shares	£m


At 30 June 2022, 30 June 2021 and 31 December 2021: ordinary shares of 2.5p each		9,200,000,000		230



			Share	Share
		Number of	capital	premium
Issued share capital, fully paid		shares	£m	£m


As at 1 January 2022	5,970,415,817		149	1,012
Options exercised under share option schemes	2,162,898		-	5


As at 30 June 2022	5,972,578,715		149	1,017


			Share	Share
		Number of	capital	premium
Issued share capital, fully paid		shares	£m	£m


As at 1 January 2021	5,967,358,713		149	1,006
Options exercised under share option schemes		2,500,221	-	5


As at 30 June 2021	5,969,858,934		149	1,011


Options exercised under share option schemes		556,883	-	1


As at 31 December 2021	5,970,415,817		149	1,012


There is one class of ordinary shares of 2.5p each. All shares issued carry equal voting rights.

The holders of the company's ordinary shares are entitled to receive dividends as declared and are entitled to one vote per share at shareholder meetings of the company.

4.06 Restricted Tier 1 convertible notes

On 24 June 2020, Legal & General Group Plc issued £500m of 5.625% perpetual restricted Tier 1 contingent convertible notes. The notes are callable at par between 24 March 2031 and 24 September 2031 (the First Reset Date) inclusive and every 5 years after the First Reset Date. If not called, the coupon from 24 September 2031 will be reset to the prevailing five year benchmark gilt yield plus 5.378%.

The notes have no fixed maturity date. Optional cancellation of coupon payments is at the discretion of the issuer and mandatory cancellation is upon the occurrence of certain conditions. The Tier 1 notes are therefore treated as equity and coupon payments are recognised directly in equity when paid. During the period a coupon payment of £14m was made (H1 21: £14m; FY 21: £28m). The notes rank junior to all other liabilities and senior to equity attributable to owners of the parent. On the occurrence of certain conversion trigger events the notes are convertible into ordinary shares of the Issuer at the prevailing conversion price.

The notes are treated as restricted Tier 1 own funds for Solvency II purposes.

4.07 Non-controlling interests

Non-controlling interests represent third party interests in direct equity investments, including private equity, which are consolidated in the group's results.

As at 30 June 2022, non-controlling interests primarily represent third party ownership in Thorpe Park Holdings, a mixed residential/commercial retail space in which the group holds 50%.

No other individual non-controlling interest is considered to be material on the basis of the period end carrying value or share of profit or loss.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 66

4.08 Core borrowings

	Carrying		Carrying		Carrying
	amount	Fair value	amount	Fair value	amount	Fair value
	30 Jun	30 Jun	30 Jun	30 Jun	31 Dec	31 Dec
	2022	2022	2021	2021	2021	2021
	£m	£m	£m	£m	£m	£m
Subordinated borrowings
10% Sterling subordinated notes 2041¹	-	-	313	315	-	-
5.5% Sterling subordinated notes 2064	590	546	589	771	590	776
5.375% Sterling subordinated notes 2045	604	610	604	699	604	673
5.25% US Dollar subordinated notes 2047	707	690	621	703	635	694
5.55% US Dollar subordinated notes 2052	414	416	364	413	373	428
5.125% Sterling subordinated notes 2048	400	391	400	478	400	461
3.75% Sterling subordinated notes 2049	598	523	598	659	598	632
4.5% Sterling subordinated notes 2050	500	456	500	582	500	558
Client fund holdings of group debt²	(50)	(46)	(41)	(49)	(44)	(51)

Total subordinated borrowings	3,763	3,586	3,948	4,571	3,656	4,171

Senior borrowings
Sterling medium term notes 2031-2041	602	707	603	866	609	846
Client fund holdings of group debt²	(9)	(10)	(9)	(12)	(9)	(11)
Total senior borrowings	593	697	594	854	600	835
Total core borrowings	4,356	4,283	4,542	5,425	4,256	5,006
1. These notes were redeemed in full on 23 July 2021.
2. £59m (30 June 2021: £50m; 31 December 2021: £53m) of the group's subordinated and senior borrowings are held by Legal & General customers through unit linked products. These borrowings are shown as a deduction from total core borrowings in the table above.


The presented fair values of the group's core borrowings reflect quoted prices in active markets and they have been classified as Level 1 in the fair value hierarchy.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 67

4.08 Core borrowings (continued)

Subordinated borrowings

10% Sterling subordinated notes 2041

In 2009, Legal & General Group Plc issued £300m of 10% dated subordinated notes. These notes were called at par on 23 July 2021.

5.5% Sterling subordinated notes 2064

In 2014, Legal & General Group Plc issued £600m of 5.5% dated subordinated notes. The notes are callable at par on 27 June 2044 and every five years thereafter. If not called, the coupon from 27 June 2044 will be reset to the prevailing five year benchmark gilt yield plus 3.17% p.a. These notes mature on 27 June 2064.

5.375% Sterling subordinated notes 2045

In 2015, Legal & General Group Plc issued £600m of 5.375% dated subordinated notes. The notes are callable at par on 27 October 2025 and every five years thereafter. If not called, the coupon from 27 October 2025 will be reset to the prevailing five year benchmark gilt yield plus 4.58% p.a. These notes mature on 27 October 2045.

5.25% US Dollar subordinated notes 2047

On 21 March 2017, Legal & General Group Plc issued $850m of 5.25% dated subordinated notes. The notes are callable at par on 21 March 2027 and every five years thereafter. If not called, the coupon from 21 March 2027 will be reset to the prevailing US Dollar mid-swap rate plus 3.687% p.a. These notes mature on 21 March 2047.

5.55% US Dollar subordinated notes 2052

On 24 April 2017, Legal & General Group Plc issued $500m of 5.55% dated subordinated notes. The notes are callable at par on 24 April 2032 and every five years thereafter. If not called, the coupon from 24 April 2032 will be reset to the prevailing US Dollar mid-swap rate plus 4.19% p.a. These notes mature on 24 April 2052.

5.125% Sterling subordinated notes 2048

On 14 November 2018, Legal & General Group Plc issued £400m of 5.125% dated subordinated notes. The notes are callable at par on 14 November 2028 and every five years thereafter. If not called, the coupon from 14 November 2028 will be reset to the prevailing five year benchmark gilt yield plus 4.65% p.a. These notes mature on 14 November 2048.

3.75% Sterling subordinated notes 2049

On 26 November 2019, Legal & General Group Plc issued £600m of 3.75% dated subordinated notes. The notes are callable at par on 26 November 2029 and every five years thereafter. If not called, the coupon from 26 November 2029 will be reset to the prevailing five year benchmark gilt yield plus 4.05% p.a. These notes mature on 26 November 2049.

4.5% Sterling subordinated notes 2050

On 1 May 2020, Legal & General Group Plc issued £500m of 4.5% dated subordinated notes. The notes are callable at par on 1 November 2030 and every five years thereafter. If not called, the coupon from 1 November 2030 will be reset to the prevailing five year benchmark gilt yield plus 5.25% p.a. These notes mature on 1 November 2050.

All of the above subordinated notes are treated as Tier 2 own funds for Solvency II purposes unless stated otherwise.

Senior borrowings

Between 2000 and 2002 Legal & General Finance Plc issued £600m of senior unsecured Sterling medium term notes 2031-2041 at coupons between 5.75% and 5.875%. These notes have various maturity dates between 2031 and 2041.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 68

4.09 Operational borrowings


	Carrying		Carrying		Carrying
	amount	Fair value	amount	Fair value	amount	Fair value
	30 Jun	30 Jun	30 Jun	30 Jun	31 Dec	31 Dec
	2022	2022	2021	2021	2021	2021
	£m	£m	£m	£m	£m	£m


Euro Commercial Paper	50	50	50	50	50	50
Non-recourse borrowings	1,004	1,004	1,064	1,064	874	874
Bank loans and overdrafts	91	91	2	2	-	-


Operational borrowings¹	1,145	1,145	1,116	1,116	924	924


1. Unit linked borrowings with a carrying value of £37m (30 June 2021: £22m; 31 December 2021: £8m) are excluded from the analysis above as the risk is retained by policyholders. Operational borrowings including unit linked borrowings are £1,182m (30 June 2021: £1,138m; 31 December 2021: £932m).


Syndicated Credit Facility
As at 30 June 2022, the group had in place a £1bn syndicated committed revolving credit facility provided by a number of its key relationship banks, maturing in December 2024. No amounts were outstanding at 30 June 2022.

4.10 Movement in borrowings
	30 Jun	30 Jun	31 Dec
	2022	2021	2021
	£m	£m	£m

As at 1 January	5,188	5,613	5,613
Cash movements:
- Proceeds from borrowings	265	269	503
- Repayment of borrowings	(210)	(162)	(798)
- Net increase/(decrease) in bank loans and overdrafts	120	(17)	(54)

Non-cash movements:
- Amortisation	1	1	3
- Foreign exchange rate movements	184	(19)	10
- Other	(10)	(5)	(89)


Core and operational borrowings	5,538	5,680	5,188

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 69

4.11 Payables and other financial liabilities

			30 Jun 2022	30 Jun 2021	31 Dec 2021
			£m	£m	£m


Derivative liabilities			34,044	18,249	15,718
Repurchase agreements¹			47,103	47,703	46,331
Other financial liabilities²			14,823	14,833	12,215

Total payables and other financial liabilities			95,970	80,785	74,264



1. The repurchase agreements are presented gross, however they and their related assets (included within debt securities) are subject to master netting arrangements. The significant majority of the repurchase agreements are unit linked.
2. Other financial liabilities includes trail commission, lease liabilities, FX spots and the value of short positions taken out to cover reverse repurchase agreements. The value of short positions as at 30 June 2022 was £4,779m (30 June 2021: £4,320m; 31 December 2021: £5,418m).


Fair value hierarchy
					Amortised
	Total	Level 1	Level 2	Level 3	cost¹
As at 30 June 2022	£m	£m	£m	£m	£m


Derivative liabilities	34,044	291	33,713	40	-
Repurchase agreements	47,103	-	47,103	-	-
Other financial liabilities	14,823	4,815	81	-	9,927

Total payables and other financial liabilities	95,970	5,106	80,897	40	9,927



					Amortised
	Total	Level 1	Level 2	Level 3	cost¹
As at 30 June 2021	£m	£m	£m	£m	£m


Derivative liabilities	18,249	397	17,780	72	-
Repurchase agreements	47,703	-	47,703	-	-
Other financial liabilities	14,833	5,484	15	10	9,324

Total payables and other financial liabilities	80,785	5,881	65,498	82	9,324


					Amortised
	Total	Level 1	Level 2	Level 3	cost¹
As at 31 December 2021	£m	£m	£m	£m	£m


Derivative liabilities	15,718	331	15,316	71	-
Repurchase agreements	46,331	-	46,331	-	-
Other financial liabilities	12,215	5,438	55	-	6,722

Total payables and other financial liabilities	74,264	5,769	61,702	71	6,722

1. The carrying value of payables and other financial liabilities at amortised cost approximates its fair value.

Significant transfers between levels There have been no significant transfers of liabilities between Levels 1, 2 and 3 for the period ended 30 June 2022 (30 June 2021 and 31 December 2021: no significant transfers).

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 70

4.12 Foreign exchange rates

Principal rates of exchange used for translation are:

Period end exchange rates	30 Jun 2022	30 Jun 2021	31 Dec 2021


United States dollar	1.22	1.38	1.35
Euro	1.16	1.17	1.19



	6 months	6 months	Full year
Average exchange rates	2022	2021	2021


United States dollar	1.30	1.39	1.38
Euro	1.19	1.15	1.16

4.13 Provisions

		30 Jun 2022	30 Jun 2021	31 Dec 2021
	Note	£m	£m	£m


Other provisions	4.13 (a)	182	108	213
Retirement benefit obligations	4.13 (b)	599	1,005	1,025


Total provisions		781	1,113	1,238

(a) Other provisions

Included within Other provisions are amounts relating to new and existing M&A and restructuring transactions. This includes costs that Legal & General Investment Management (LGIM) has committed to incur to extend its existing partnership with State Street, to increase the use of Charles River technology across the front office and to deliver middle office services going forward.

(b) Retirement benefit obligations

The Legal & General Group UK Pension and Assurance Fund (Fund) and the Legal & General Group UK Senior Pension Scheme (Scheme) account for the majority of the UK and worldwide assets of, and contributions to, such arrangements. The Fund and Scheme were closed to future accrual on 31 December 2015.

As at 30 June 2022, the combined obligation arising from these arrangements has been estimated at £594m (30 June 2021: £980m; 31 December 2021: £1,020m). The retirement benefit obligations are a component of Provisions on the Consolidated Balance Sheet. The after tax surplus, net of annuity obligations insured by Legal and General Assurance Society (LGAS), has been calculated to be £131m (30 June 2021: deficit of £28m; 31 December 2021: deficit of £22m).

The group operates two other defined benefit pension schemes, both of which are closed to future accrual and have a combined retirement benefit obligation of £5m (30 June 2021: £25m; 31 December 2021: £5m).

4.14 Contingent liabilities, guarantees and indemnities

Provision for the liabilities arising under contracts with policyholders is based on certain assumptions. The variance between actual experience from that assumed may result in those liabilities differing from the provisions made for them. Liabilities may also arise in respect of claims relating to the interpretation of policyholder contracts, or the circumstances in which policyholders have entered into them. The extent of these liabilities is influenced by a number of factors including the actions and requirements of the PRA, FCA, ombudsman rulings, industry compensation schemes and court judgments.

Various group companies receive claims and become involved in actual or threatened litigation and regulatory issues from time to time. The relevant members of the group ensure that they make prudent provision as and when circumstances calling for such provision become clear, and that each has adequate capital and reserves to meet reasonably foreseeable eventualities. The provisions made are regularly reviewed. It is not possible to predict, with certainty, the extent and the timing of the financial impact of these claims, litigation or issues.

Group companies have given warranties, indemnities and guarantees as a normal part of their business and operating activities or in relation to capital market transactions or corporate disposals. Legal & General Group Plc has provided indemnities and guarantees in respect of the liabilities of group companies in support of their business activities including Pension Protection Fund compliant guarantees in respect of certain group companies' liabilities under the group pension Fund and Scheme. LGAS has provided indemnities, a liquidity and expense risk agreement, a deed of support and a cash and securities liquidity facility in respect of the liabilities of group companies to facilitate the group's matching adjustment reorganisation pursuant to Solvency II.

Legal & General Group Plc

Half Year Results 2022 Part 2

IFRS Disclosure Notes Page 71

4.15 Related party transactions

(i) Key management personnel transactions and compensation

There were no material transactions between key management and the Legal & General group of companies during the period. All transactions between the group and its key management are on commercial terms which are no more favourable than those available to employees in general. Contributions to the post-employment defined benefit plans were £51m (30 June 2021: £52m; 31 December 2021: £109m) for all employees.
At 30 June 2022, 30 June 2021 and 31 December 2021 there were no loans outstanding to officers of the company.

The aggregate compensation for key management personnel, including executive and non-executive directors, is as follows:

	6 months	6 months	Full year
	2022	2021	2021
	£m	£m	£m


Salaries	3	3	10
Share-based incentive awards	5	5	5


Key management personnel compensation	8	8	15

(ii) Services provided to and by related parties

All transactions between the group and associates, joint ventures and other related parties during the period are on commercial terms which are no more favourable than those available to companies in general.

Loans and commitments to related parties are made in the normal course of business.

The group has the following material related party transactions:

- Assured Payment Policies (APPs) have been transacted between the group's defined benefit pension schemes and LGAS. An APP is an investment contract product sold by LGRI which, issued to a pension scheme, provides the scheme with a fixed or inflation-linked schedule of payments to match the scheme's expected liabilities. As at 30 June 2022, LGAS recognised a liability related to the APP transactions of £968m (30 June 2021: £1,251m; 31 December 2021: £1,214m) which is included in the group's investment contract liabilities. The UK defined benefit pension schemes hold transferable plan assets of the same amounts, which do not eliminate on consolidation.

- Loans outstanding from related parties at 30 June 2022 of £20m (30 June 2021: £22m; 31 December 2021: £15m), with a further commitment of £2m;

- The group has total other commitments of £1,061m to related parties (30 June 2021: £1,206m; 31 December 2021: £1,158m), of which £736m has been drawn at 30 June 2022 (30 June 2021: £738m; 31 December 2021: £726m).

4.16 Acquisitions

Ancora L&G LLC

On 25 May 2022 Legal & General Capital (LGC) announced that it has formed a 50:50 partnership with US based real estate developer to create a real estate platform dedicated to driving life science, research and technology growth across the US.

As part of the transaction, the group transferred consideration of $4m (£3m) in cash, in return for a 50% shareholding in Ancora L&G LLC. As a result of the transaction, in line with IFRS 3 'Business Combinations', the group controls Ancora, and therefore the assets and liabilities acquired have been included in the group's consolidated financial statements, using the group's accounting policies. Goodwill of £3m has been recognised on consolidation.

Legal & General Group Plc

Half Year Results 2022 Part 2

Page 72

This page is intentionally left blank

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [email protected] or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.

END

IR BKFBNOBKDFFK

TIDM	LGEN
Share Price	293.80p-0.68%
Market Cap	£16.10bn

Date	9 Aug 2022
Time	07:00:07
Category	Results
ID	3227V

TIDM	LGEN
Share Price	293.80p-0.68%
Market Cap	£16.10bn

Date	9 Aug 2022
Time	07:00:07
Category	Results
ID	3227V

t

Company Information

RNS Metadata

Company Information

RNS Metadata

L&G Half Year Results 2022 Part 2

Conclusion

Basis for conclusion

Directors' responsibilities