Cofunds to cull jobs

Cofunds to cull jobs

Legal & General-owned platform Cofunds is planning to cut 10 jobs as it uproots its London-based team.

Cofunds has confirmed plans to move its London team to its headquarters in Witham, Essex, which could result in 10 members of staff losing their jobs.

An L&G spokesman said the company is consulting with staff about the proposal, with the restructure resulting in job cuts to both its IT and commercial divisions.

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He said: “Cofunds plans to centralise all its key roles at its headquarters in Witham. This will enhance business efficiency and service delivery to their customers.”

The firm currently has a 35-strong team working in London. Cofunds said it had nothing further to add about the proposal.

Last year it was reported L&G planned to sell-off the platform, but an insider later said an immediate sale was off the cards for the time being. This followed rumours in August that L&G was in talks with AJ Bell about a possible takeover.

L&G’s sale of its self-invested personal pension business Suffolk Life, announced earlier this month, sparked further questions about the future of Cofunds.

Last week, L&G confirmed the closure of its flagship office in Kingswood, which is expected to result in the loss of around 1,400 jobs.

Darius McDermott, managing director at Chelsea Financial Services, told FTAdviser: “It is quite clear that Cofunds need to be mindful of their cost base and these two fairly small issues represent the direction of travel in terms saving some money and trimming some extra resource, which were put in place to deal with RDR and the sunset clause.”