New blow for policyholders as Aviva cuts inherited estate payouts

As Aviva announces a cut in the payments to policyholders from its inherited estate deal, Which? chief executive, Peter Vicary-Smith, says: "This news caps a miserable few months for Aviva's with-profits policyholders in which they've seen bonuses slashed and transfer penalties introduced. We must avoid a situation where policyholders take all the risk only for Aviva to get all the benefit from any upside in the value of the estate.

"At a time when Aviva is cutting the payout to policyholders it is all the more important that it stops raiding the inherited estate to pay shareholders' tax bills, prop up a deficit in the staff pension scheme or pay for its own regulatory failings."