Barclays cuts jobs at its home loans division

Barclays’ unit Firstplus is to axe 300 jobs at its home loans division in the Pentwyn area of Cardiff.

Firstplus, which became part of Barclaycard in 2004 following Barclays’ acquisition of Woolwich eight years ago, said from 9 August it will no longer take on new customers due to slowing demand. It employs over 400 staff.

The announcement will not have an impact on its existing 128,000 Firstplus customers as its remaining staff will deal with them.

Commenting on the reduction in workforce, Graham Goddard of Unite, said the union accepts the deterioration in market conditions but condemns the decision to run down the Cardiff site.

Firstplus provides second-charge loans which means customers borrow based on the equity in their home.

The housing market slowdown and the mortgage freeze has meant the mortgage sector has taken a battering of late.

Neil Radley, Firstplus managing director, said in the last 12 months, it has taken many steps to develop the business but the market demand simply isn’t strong enough.

The group acknowledges that this will be difficult for staff and will be providing support and assistance to those who are affected.

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