Aviva private credit team originates £2bn in H1 2025

Group profitability and capital-light mix

Aviva reported group operating profit of £1,068m for the first half, an increase from £875m in the first half of 2024. The Group said that 66% of operating profit now comes from capital-light businesses, indicating a continued tilt towards fee-based and lower-capital-intensity activities alongside its insurance franchises.

On a Solvency II basis, operating own funds generation rose to £909m from £758m, a 20% increase year-on-year. Solvency II operating capital generation increased to £957m from £722m, representing growth of 33% over the same period.

Aviva’s Solvency II return on equity was 16.7% in the first half, compared with 12.4% a year earlier, reflecting the combined impact of earnings growth and capital generation. On an IFRS basis, profit for the period was £819m, up from £654m in the first half of 2024.

Capital, solvency and leverage

Aviva reported an estimated Solvency II shareholder cover ratio of 206% at 30 June, compared with 203% at year-end 2024. The Group’s estimated Solvency II shareholder surplus at the same date was £8.1bn, providing the capital buffer backing its insurance and asset management activities.

Solvency II operating own funds generation of £909m and operating capital generation of £957m contributed to this capital position, with both metrics showing double-digit percentage growth versus the prior year period. Aviva’s Solvency II debt leverage ratio was 32.3% at 30 June, up from 28.9% at 31 December 2024, indicating a higher proportion of debt within the capital structure.

Centre liquidity stood at £2.1bn in July, compared with £1.7bn in January, giving Aviva additional financial flexibility at holding company level. The interim dividend per share for the period was 13.1p, up from 11.9p a year earlier, an increase of 10%.

Forward context