Norwich Union Ireland said its new life and pensions business rose by 53 per cent last year, boosted by strong growth in single premium sales, in particular.

"Although it will be some time before the overall market figures are available, we are confident that we have increased our market share," said Mr Charles Henihan, director of sales and business development.

Last year, new business, as measured by the annual premium equivalent which combines new regular premium sales and 10 per cent of new single premium sales, jumped to a record £42.9 million (€54.5 million) from £28 million a year earlier.

Single premium sales, or sales of once-off products such as investment bonds, surged by 120 per cent to £214.2 million. Regular premium sales were up by a more modest 17 per cent to £21.5 million.

The company said its flagship Celebration Bond product exceeded all expectations by doubling sales to £126.1 million.

It also said its two property funds, introduced last July, were very successful.

"This product caught the investors' imagination and fulfilled their desire to invest in bricks and mortar - both here and in the UK," Mr Henihan said.

He said the group was very positive about the outlook for the current year and expected continued growth in new business as the booming economy meant people would have an even greater need for life and pensions products.

The company's parent, Norwich Union plc, announced a 50 per cent increase in new life and pensions business in 1999 to £630 million sterling (€1.04 billion), double the industry average.

The insurer said a strong performance from the Republic and France offset a poor performance in Spain, helping overall European premiums rise to £134 million from £82 million.