Bank deals boost Legal & General

Insurer Legal & General has surpassed market expectations with an an 8% rise in third-quarter sales following "steadily improving" market conditions.

The group experienced the growth of worldwide new business, which saw sales of insurance and savings products rise to £226m in the quarter.

Chief Executive David Prosser said the British market was beginning to pick up after plummeting earlier this year.

He said Legal & General was gaining market share, thanks to the success of its distribution efforts.

It has signed distribution deals with banks such as Barclays and Northern Rock, and the group is continuing to sign new distribution agreements.

Following Monday's announcement its shares were the top gainer in the FTSE 100 index in early trade, up over 3% shortly after the open, but later slipped back.

Legal & General shares have almost doubled in value since slumping to 57 pence in March.