Aviva acquiring Direct Line for £3.7bn, set to double market share

From Yahoo Finance: 2025-06-26 13:04:00

Aviva’s £3.7bn acquisition of Direct Line is set to be finalized in July 2025, making it a major player in the UK’s general insurance sector. Aviva leads the market with a 9.7% share, poised to almost double the joint-second-largest players’ market share upon acquisition. The deal awaits CMA clearance after approval from FCA and PRA.

The acquisition will see Direct Line’s brands like Churchill and Darwin Motor Insurance under Aviva’s umbrella, potentially leading to operational efficiencies and cost reductions. However, concerns arise about job losses and reduced competition in the market. Aviva’s confidence in the deal proceeding signals a significant move in the UK insurance landscape.

Aviva’s decision to push forward with the acquisition ahead of CMA clearance signifies confidence in the deal’s success. The High Court Sanction hearing is a crucial step in the process, with potential remedies being imposed if the CMA deems the merger anti-competitive. The combined group’s impact on the market remains to be seen, with both risks and rewards in play.



Read more at Yahoo Finance: Aviva to accelerate growth with landmark acquisition of Direct Line