Aviva hotseat race takes a turn

The plot thickened this week over who will become Aviva’s new chief executive after the odds on favourite Andy Haste taking the job were dramatically slashed.

It follows a Sunday Telegraph report claiming that the former RSA boss is not interested in succeeding outgoing chief executive Andrew Moss.

Haste has history with Aviva – he tried to buy the company’s general insurance operation while at RSA.

He has all the right credentials, having turned around a struggling RSA, and is held in high esteem by the City, analysts and investors, alike.

But according to those close to the situation, Haste’s wife, who is American, is keen to return to the USA.

And question marks have been raised over whether he would want to sort out another company’s problems anyway.

Internally, Patrick Regan has emerged as the front runner. But despite has impressive track record, having worked at Willis, RSA and AXA, some have questioned his leadership qualities.

Patrick Snowball, who arguably should have got the post the first time round, has done a sterling job at Suncorp in Australia. However, having been overlooked initially it is unlikely that an Aviva return is on the cards.

One thing is for certain, new chairman John McFarlane has taken a highly hands-on approach since coming onboard after Moss’s departure and the market will be waiting to see what his next move will be at the postponed investors’ day in July.

Another interesting talking point to come out of the Telegraph report was the claim that Moss demanded a 9.5% pay rise ahead of the annual general meeting, taking his basic salary to £1.05m.

If the remuneration committee had approved his request it would have only served to generate greater shareholder anger and possibly precipitated an earlier departure.