6. Operations classified as held for sale
The assets and liabilities of operations classified as held for sale as at 31 December 2007 relate to our Dutch health insurance business, and were as follows:
| 2007 £m |
2006 £m |
|
|---|---|---|
| Financial investments | 316 | - |
| Receivables and other financial assets | 554 | - |
| Prepayments and accrued income | 145 | - |
| Tax assets | 17 | - |
| Cash and cash equivalents | 96 | - |
| Total assets | 1,128 | - |
| Gross insurance liabilities | (627) | - |
| Borrowings | (12) | - |
| Payables and financial liabilities | (72) | - |
| Other liabilities | (220) | - |
| Tax liabilities and other provisions | (11) | - |
| Total liabilities | (942) | - |
| Net assets | 186 | - |
(ii) Dutch health insurance business
On 16 July 2007, the Group announced that its Dutch subsidiary, Delta Lloyd Group ("DL"), had reached an agreement to sell its health insurance business to OWM CZ Groep Zorgverkeraar UA ("CZ"), a mutual health insurer, and create a long-term alliance for the cross-selling of insurance products. Under the terms of the agreement, CZ will purchase the DL health insurance business and take on its underwriting risk and policy administration. DL will continue to market and distribute health insurance products from CZ to its existing customers and continue to provide asset management for the transferred business. DL will also have exclusive rights to market life, general insurance and income protection products to CZ's customers. The transaction is expected to take effect on 1 January 2009, subject to regulatory, competition and other relevant approvals.
The relevant assets and liabilities of the DL health insurance business have been classified as held for sale, at their carrying values, in the consolidated balance sheet as at 31 December 2007.
