This represents a 3.5% gain in market share compared to the same period last year.
L&G also reported an operational cash generation increase of 19% to £498m from the £417m in the first half of 2010 and an increase of their share prices by 25% to 1.66p per share up from the H1 2010 figure of 1.33p.
Tim Breedon, group chief executive at L&G, said: “In the first half of 2011, L&G has continued to deliver on our key metrics. Continued strong cash generation and confidence in our future prospects has led the board to increase the interim dividend by a further 25% to 1.66p per share.
“We remain confident in our business model and strategy. Our leading market positions in UK savings, annuities, protection and asset management are delivering healthy returns for shareholders. Sales volumes continue to grow and we are developing attractive new businesses both in the UK and internationally.
"Economic uncertainties remain, volatility continues in financial markets and the life assurance sector is entering a period of significant regulatory change. In these conditions it is prudent to maintain a strong balance sheet.
“Our Insurance Group’s Directive surplus of £4bn provides sufficient capital to exploit opportunities as they emerge, to continue to grow the business and to provide protection from economic and regulatory risks."
