Bradford & Bingley could face many more job losses

Bradford & Bingley is facing “many more” job losses after it was nationalised today, MPs have claimed.

George Mudie, Leeds East Labour MP and member of the House of Commons Treasury committee, said it was inevitable that there would be more redundancies, pointing to the 1,300 job cuts announced by fellow mortgage lender Northern Rock earlier this year.

Last week Bradford & Bingley (B&B) said it was cutting 370 jobs in response to the worsening economy, but admitted that was still not enough to save the institution. Spain’s Santander bank has agreed to purchase all 197 B&B branches and £20bn of deposits for £612bn.

Philip Davies, MP for Shipley, said he was very worried.

“More than 3,000 people’s jobs are dependent on Bradford & Bingley, and its dominance in the local economy means many, many more jobs are affected,” he said.

The bank said that the job losses would help save £15m a year, and added that it was boosting staffing levels in mortgage arrears collection. However, it warned that the head office workforce in Yorkshire would be cut at a later date.

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