Sir Nigel Wilson to retire after decade at top of Legal & General

Sir Nigel Wilson is retiring as chief executive of Legal & General after more than a decade in charge.

Two of the leading internal candidates to succeed him at the asset manager and insurer are women – and if either is appointed it could add to the dominance of female leaders in the sector.

Analysts at Citi said Wilson, 66, would be a ‘tough act to follow’ and shares fell 1.8 per cent on the announcement of his departure.

Stepping down: Legal & General boss Sir Nigel Wilson is retiring as chief executive after more than a decade in charge

Investors have enjoyed returns of 641 per cent since he joined the company, compared to 164 per cent for the FTSE 100, L&G said.

Wilson started at the company in 2009 as chief financial officer and took the top job in 2012. He was paid £4.5million in 2021.

L&G said it would begin a ‘broad search’ for a replacement including a ‘strong bench of senior managers and divisional chief executives’ as well as external candidates. 

Possible internal hires for the role include Laura Mason, who heads alternative asset division L&G Capital. 

Michelle Scrimgeour, chief executive of the group’s investment management unit, and Jeff Davies, L&G’s chief financial officer are also in the running. 

It could mean the company appointing the first female chief executive in its 187-year history.

Rivals Aviva and Admiral are already led by Amanda Blanc and Milena Mondini de Focatiis while the Prudential is chaired by Baroness Vadera, and Penny James has just lost the top job at Direct Line. An L&G spokesman said: ‘We won’t speculate about individuals.’

The company, which is valued at £15.6billion, said the appointment and transition period would take ‘around a year’.

Wilson has steered L&G through a turbulent period in the sector, which has seen four changes at the top of rival Aviva as well as a break-up of the Prudential.

Under his leadership, assets managed by the company have soared to more than £1.3 trillion and the group has led investment in areas such as housing, infrastructure and science parks. 

Wilson, a keen athlete who grew up on a council estate in County Durham, has argued the case for ‘inclusive capitalism’ – earning returns for shareholders while making investments that will help to tackle inequality.

He has also backed an overhaul of so-called Solvency II rules, which the Government hopes will unlock billions of pounds of investment in areas such as green energy and infrastructure.

Father-of-five Wilson has served on business advisory councils for a number of prime ministers and was knighted last year. He spurned an offer to serve as minister for investment under Liz Truss.

He said yesterday: ‘I firmly believe we have laid strong foundations to support the next phase of growth for the group.’