Car insurance news
Swinton buys cheap car insurance broker Budget Retail
It has been announced that the cheap car insurance broker Budget Retail has been bought by Swinton.
In the deal, Swinton is acquiring the 92 high street branches of Budget Retail, making a total of 448 for the insurance giant. This is just the latest in a series of purchases by Swinton, which amount to an already staggering total of 250 broker acquisitions in five years.
Patrick Smith, Swinton chief executive, said of the rapid buying strategy, "We have plans to continue this growth and enhance our capabilities by increasing our customer base through improvements in direct marketing, increasing our product diversification and enhancing the relationship between branches and the online business."
As well as offering cheap car insurance, the Budget Retail brand also deals with home, travel, pet and other types of insurance. It is to be phased out after September 2007, at which time the name will be changed to Swinton.
Matthew Donaldson, group director of Budget Retail, said that the sale was necessary due to its slower growth rate than other areas of the business. He commented, "The focus must be on supporting areas we believe will deliver growth, such as the internet and affinity business."
Employees have been assured that there will be no job losses in the changeover.