Towergate delays refinancing

Towergate has delayed its plans to raise 665m from investors for four to six weeks because of volatility in the bond markets.

Chief executive Andy Homer told Insurance Times the troubles in the Eurozone and the hung parliament had driven up the cost of debt by one per cent, which would equate to an extra £6.5m in interest per year.

He said Towergate would return to the market if prices had fallen back to their previous level in four to six weeks, adding: “We don’t have to do it.”

He said Towergate’s current banking arrangements remained in place.