Is The Pru about to be broken up?

BOSSES at insurer Prudential are considering breaking up the company, sources claimed.

The firm has long faced questions over whether it should sell off its UK division to focus on highgrowth Asian markets.

Pru has been in Asia since the 1920s, but has been boosted by the growth of middle- class families in China and elsewhere. Meanwhile, the company’s British operations are largely static as it achieved a huge market share long ago and has few opportunities for expansion.

The latest wave of speculation was triggered by Pru’s decision to sell £10bn of UK annuities – sparking rumours it could be testing the waters for a bolder move. A spokesman declined to comment yesterday.

Pru shares rose 0.7pc, or 13p, to 1885.5p.