Bradford & Bingley (B&B) is to axe 370 jobs, with more redundancies in the pipeline under plans to streamline its business.
The lender said it was shutting a mortgage processing centre and cutting the part of its workforce that deals with independent mortgage brokers because of the downturn in the property market. The move is expected to result in annual cost savings of £15m, set against one-off costs of £14m.
A review of head office operations is also underway, with HR jobs potentially in the firing line. “The company also confirms it is reviewing its head office support functions to reduce its costs to a level that is sustainable in the long term. This will result in a further reduction in staff numbers,” the firm said in a statement.
Richard Pym, chief executive, said: “We are a strongly capitalised bank now undertaking a complex transition with regrettable job losses, but we are planning to put the problems of the past behind us and have a business that is fit for purpose going forward.”
Earlier this year, fellow mortgage lender Northern Rock announced plans to shed up to 2,000 staff following its nationalisation at the start of the year.