85 jobs could go at finance firm

1:20pm Tuesday 13th May 2008

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A FINANCIAL services company is aiming to axe almost half its workforce after the credit crunch forced to it refocus its business.

Picture Financial said it launched a 30 consultation with its Newport staff yesterday.

It is looking to shed up to 85 jobs across its head office, where 165 people are currently employed.

The company is restructuring to focus on its loan servicing operation, after struggling to find funds for new lending.

However the company says it has explored all options available to the company.

A spokeswoman said: "We enter into this process with great reluctance and regret.

"We have an excellent company and are proud of the achievements of our skilled and committed staff but the limited availability of funds for lending means that we are forced to review our strategy for the future."

She added the firm will aim to maintain a high level of service to existing customers.

An employee, who wanted to remain anonymous, said people were disappointed with the news.

She said: "A lot of the people here are financial people, and that kind of work is becoming increasingly difficult to find.

"People had moved down from all over to work here - from the valleys and across South Wales.

It's not just Newport people being affected."

The company had hoped to secure extra investment and said in March that it was undergoing negotiations, but extra funding has not been secured.

In 2004 the firm announced it was to set up its base in Newport.

Its £6 million development in Imperial Way opened in 2006.

Initially 100 people were employed, and the company hoped to expand to 200.