UK sub-prime lender Cattles has said it may cut as many as 510 jobs at its Welcome Financial Services subsidiary.
In a statement issued this morning the board of Cattles said that as part of an ongoing comprehensive review of the Welcome business, it has proposed the closure of 30 branches where leases have expired or are due to expire, along with a reduction in the number of its sales and support teams.
The specialist lender will now enter into a consultation process with staff affected by the proposals, of whom around 510 will today receive notice that they are at risk of redundancy.
It is understood that Cattles is in talks with creditors over the potential restructuring of around £500m worth of loans. Royal Bank of Scotland is the largest lender among a consortium of 22 lenders to Cattles.