Direct Line to cut hundreds of jobs to help profitability

Direct Line is to axe about 550 jobs as part of a cost-cutting drive.

- Jack Simpson

The Kent-based insurance company said it was consulting on the jobs, which would represent about 6% of its total 9,000-person workforce, as part of an attempt to save £50m next year.

It would not give details on the roles that would go but said the number would include vacancies not being filled.

The plans were revealed in a trading update yesterday in which the company said the job losses would be part of its plan to create a "leaner and more efficient operating model".

Direct Line had 3.05 million policyholders with its own-brand car insurance at the end of September, down by nearly 400,000, or 11%, at the same point last year.