Published by Global Banking & Finance Review®
Posted on July 1, 2025
1 min readLast updated: January 23, 2026
Aviva's $5 billion acquisition of Direct Line has been approved by the UK's competition authority, forming the largest home and motor insurer in the UK.
(Reuters) -Britain's competition watchdog cleared Aviva's 3.7-billion-pound ($5.08 billion) takeover of smaller rival Direct Line on Tuesday, paving the way for the creation of Britain's largest home and motor insurer.
The Competition and Markets Authority, which launched an initial investigation into the deal in May, said it would not refer the deal to an in-depth probe.
Aviva and Direct Line inked an agreement in December to create one of London's largest listed insurers, rivalling Legal & General and the Asia-focused Prudential in terms of market value.
The combined company, representing Aviva CEO Amanda Blanc's most ambitious corporate transaction to date, would have a more than 20% share in both home and motor insurance in the UK, analysts said at the time the deal was announced.
Aviva said last month that the deal was expected to become effective on July 1.
($1 = 0.7277 pounds)
(Reporting by Yadarisa Shabong in Bengaluru; Editing by Janane Venkatraman)
Aviva's takeover of Direct Line was valued at 3.7 billion pounds, which is approximately $5.08 billion.
The Competition and Markets Authority cleared the deal and decided not to refer it for an in-depth investigation.
Aviva announced that the deal is expected to become effective on July 1.
The combined company will have more than a 20% share in both home and motor insurance in the UK.
Amanda Blanc is the CEO of Aviva and is overseeing this significant corporate transaction.
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