Operating profits at Aviva UK rose 8% to £1.45bn in 2011, thanks largely to a boost in new sales in its life and pensions division.
New sales of life and pensions products increased 10% to £11.3bn last year. Aviva saw gains in sales of workplace savings and protection products, and said it now has a 25% market share in individual annuities.
UK life insurance operating profits increased 8% to £920m.
Aviva Investors, which saw operating profits worldwide fall 9% to £91m, confirmed plans, first announced in January, that it intends to scale back distribution to retail investors, although it will continue to offer investment products in the UK.
The plans will lead to a number of job cuts, it said, mostly in London.
Group wide, Aviva's profits took a tumble as investment variance gains seen in 2010 were reversed last year.
On an international financial reporting standards (IFRS) basis, operating profit was £2.5bn, broadly in line with 2010 despite the reduced contribution from its former Dutch subsidiary Delta Lloyd following its deconsolidation in May 2011.
Profit before tax slumped to £87m from £2.44bn the year before, after the company booked a loss of £726m relating to Delta Lloyds for the first four months of the year as a result of the reversal of investment variance gains seen in 2010.
Profits from Aviva's continuing operations (including its share of Delta Lloyd as an associate) were £813m for the year.
Additional reporting by Sharecast
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