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Barclays financial planning arm to close
by Alex Steger on Jan 26, 2011 at 10:15
Barclays is planning to stop offering financial advice through its retail branches by closing Barclays Financial Planning after a review deemed it no longer commercially viable.
Barclays said it expected to offer retail investment advice online, and that it expected financial advice in bank branches to decline.
‘Barclays has been conducting a detailed review of its financial planning advice over recent months. This review has concluded that, given the changes to the retail investment marketplace, it is unlikely that this business would be able to deliver a return that would justify the investment required,' said a spokeswoman.
If the proposals go ahead around 1000 staff will be affected. Barclays said it could not comment on job losses and would work with the union Unite to redeploy the staff in other areas.
Barclays said it will shift its focus to online execution only service Investor Zone and that existing plans and investments currently held by customers will continue to be serviced.
The bank was recently fined £7.7 million by the Financial Services Authority for mis-selling two Aviva funds.
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