Edinburgh-based life and pensions group Aegon UK is to close six regional offices across the UK as part of a restructuring exercise.
Andy Murray returns to action at the Aegon Championships which begins today
The affected locations include Glasgow, Birmingham, London and Manchester. In total 160 jobs are at risk.
The company said it took the decision to adhere to the changes in technology and the way financial advice is delivered.
In 2010 and 2011 the company reduced its workforce by 25 per cent after suffering significant losses, but this move is motivated by other factors.
A spokesman for Aegon said: “That was a cost-cutting exercise; this is more about the shape for the future. We realised we would be stronger if we restructured.”
“Over the past few years, Aegon UK has focused on the core markets of workplace savings and at-retirement.
“The Aegon Retirement Choices (ARC) platform is now established as an innovative and unique proposition, and is attracting new business and adviser adoption at a rate that has exceeded our initial expectations.”
The company continued to say that this change, along with this year’s new system of commission-free financial advice, and continuing advances in technology, had all driven the reformation of its business.
While the regional offices will close, many staff will continue to work remotely. Over 50 per cent of the new roles will be in platform implementation, as the group is to move its ARC platform management internally from its platform partner Novia.
When Aegon completed its cost-cutting programme 18 months ago it reduced UK employment numbers from 3600 to 2700.
Aegon will consider relocating staff and voluntary redundancy to reduce the need for compulsory redundancies.
Duncan Jarrett, managing director of retail for Aegon UK, said: “The distribution structure has served us fantastically well in the past, but we must evolve to provide for the adviser community, helping us to strengthen and develop profitable relationships for the future.”
Aegon UK was founded in 1831 as Scottish Equitable and has undergone a number of name changes in its history. It is now part of global pensions and investments group Aegon N.V.
The company is the sponsor of the Aegon Championships, the traditional precursor to the Wimbledon Grand Slam event, which begins today at Queens Club.
