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Coutts cuts 20% of front office in RDR restructure

by Danielle Levy on May 18, 2012 at 11:40

Up to 20% of Coutts’ front line staff are facing redundancy, following the bank’s decision to place a greater emphasis on wealth management in the run-up to the retail distribution review (RDR), according to New Model Adviser® sister title Wealth Manager.

A spokeswoman at the bank said that following a 90-day consultation period which was served to front office staff at the firm, 80% had been offered roles. She said that as it is an ongoing process, the end numbers are yet to be confirmed, and that the number of staff to be cut equated to no more than 2% of the head count of the broader company.

She added: ‘The changes relate to the reshaping of our business in line with our ongoing strategy to put a greater emphasis on wealth management.’

The changes follow the bank’s decision to differentiate its wealth management and private banking teams ahead of the RDR.

While clients were previously serviced just by their private banker, who was responsible for both lending and wealth management, they will now be able to seek wealth management services from a dedicated team.

The restructuring represents a change in strategy for the bank and forms part of chief executive Rory Tapner’s (pictured) strategic growth plans, which include doubling assets under management by 2015.