Life and pensions giant Standard Life today reported a 20% drop in fourth quarter UK sales following the market volatility.

The news comes after the announcement late yesterday that its UK boss Trevor Matthews had quit to head up rival Friends Provident.

Standard Life posted £2.9 billion of UK life and pensions sales in the last three months of 2007, which was below the £3 billion expected in the market. Shares were off 7 pence, or 3%, to 221p.

Overall, annual UK sales for the year to 31 December were up 15% on last time to £13.2 billion. Total worldwide life and pension sales for the year came in at £16.3 billion, that's up 12% from £14.5 billion in 2006.

Individual Self Invested Personal Pension (SIPP) sales increased by 24% to £4.5 billion, the company said, although sales in the second half slipped on the first half performance, reflecting seasonal trends and the market conditions.