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Broker News - Brokers doomed, says report.

Europe Intelligence Wire

| February 01, 2007 | COPYRIGHT 2007 Financial Times Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

(From Post Magazine)

Sales growth in the UK broking market is being totally dominated by the top companies, according to a new report.

"A staggering 94% of last year's sales growth in the UK insurance broking industry went to just 115 firms," according to an analysis of the market by Plimsoll Publishing.

As a result of this, the report said that many other firms are struggling to survive in an atmosphere of declining sales and increasing debt, with at least 320 staring failure in the face.

The assessment confirmed that constant rounds of consolidation are creating "super companies" that are exerting an increasing control over the market. Most of the companies in question are large, with sales over GBP10m. But 47 have sales of ...

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