Jobs at risk as insurer plans to abandon York base

Nearly 50 jobs are at risk as credit card insurance business CPP announces plans to move some of its operations out of York.

CPP employs around 300 in the city, but has now announced plans to move its corporate centre to new offices in the centre of Leeds.

The move affects the group business, which also looks after overseas divisions. Its UK division will continue to work out of York in the meantime.

Only 26 staff will relocate to Leeds, with 48 entering into consultations.

The company, led by Jason Walsh after a boardroom coup led by Hamish Ogston and Schroders, sold its headquarters in York to Gear4Music for £5.3m last month.

At the time of the HQ sale, it said it would be consolidating its offices on the Holgate Park estate.

Walsh has been attempting to turn the business around, but turnover from continuing operations declined 4% to £73.6m for the year to December 2016, and it reported a loss of £1.9m in 2016.

At its height, CPP employed 1,400 people in York, before it was hit by an investigation for mis-selling under the leadership of Ogston and was forced to pay multi-million pound fines.

Jason Walsh, CEO of CPPGroup plc said:“CPP is a global organisation and as part of our growth plans for the company, we have announced a redesign that puts more ownership and resources into our country businesses, which will enable them to realise the huge potential that exists in our current markets and beyond.

“We have also recently announced plans to relocate our Corporate Centre to a new office in the centre of Leeds.

“As we bring about these changes, a number of roles based in our York offices are at risk of redundancy and we are currently consulting with our colleagues regarding the options available to them.

“Whilst I appreciate this is an unsettling time for some and we are focused on supporting those impacted, these changes will enable us to organise ourselves in a way that will give all of our countries the freedom, autonomy and support to deliver long term growth and profitability.”

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