Insurance firm Royal & Sun Alliance (R&SA) has announced plans to cut 1,000 British jobs as part of a cost-saving drive.
Issuing a statement to the Stock Exchange, R&SA said it would be presenting details of a plan to save £130 million by mid-2008 to a group of investors and shareholders later on today.
Today's cuts, which form the bulk of 1,500 planned job losses in total around the world, have been driven by a need to sustain profit growth, the statement said.
"We have a clear strategy of running general insurance businesses with strong market positions to deliver sustainable profitable performance," Andy Haste, R&SA chief executive, said.
"The decision to reduce headcount is always a difficult one but necessary to ensure we remain as competitive as possible and to continue to deliver on our objective of sustainable profitable performance."
Negotiations are already underway with unions in efforts to limit the number of compulsory redundancies, the statement said, before confirming that it hoped to lay a "strong foundation for growth" in the future.
R&SA's decision to continue enhancing profits by cutting back jobs follows on from a longer term raft of cutbacks running from 2003 to 2006, totaling £260 million.