Cofunds axes 30 more jobs

Cofunds axes 30 more jobs

Legal & General-owned platform Cofunds has blamed the sunset clause and upcoming regulatory change for making another 30 redundancies.

A spokesman for the provider stated it has created new roles within its IT and change division, but this has resulted in having to make cuts elsewhere.

Cofunds shed 10 roles in January as part of the closure of the platform’s London office and the move to Witham.

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A spokesperson said: “Having increased our IT and change capacity in order to deliver the developments required for sunset and other regulatory change, we’ve recently reshaped the team to better reflect the resources we need now and into the future.

“A number of new roles have been created as part of this review, but regrettably approximately 30 roles have been made redundant.”

The company’s head of marketing Stephen Wynne-Jones also announced at the time that he would be leaving, although no date was set.

The spokesperson said a date has still not been set.

L&G bought Cofunds two years ago in a deal that valued it at £171m.

According to L&G’s latest report and accounts for 2014, the platform has undergone business-wide cost-cutting, with a view to making £80m worth of savings this year across the L&G Group.

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 in January, sparked further questions about the future of Cofunds.

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