The consolidation will result in a reduction in staff to five, including one manager, from the current eight, of which there were two managers, one of whom oversaw international sales and another who was responsible for UK operations.
Richard Leeson, who has been international sales manager, confirmed that he will now be responsible for the newly-combined four-person team, which is still being formed. He declined to name the UK manager whose job is being discontinued but it is understood to be Frank Morton, head of business development.
Morton’s plans were not immediately known and he could not be reached for comment.
The consolidation coincides with major changes at Prudential, which has announced plans to acquire its Asian rival, AIA, in a controversial $35.5bn (£23.2bn) deal some say could see it sell off its British and American businesses and relocate its headquarters to the Far East.
However, a Prudential spokesperson said the consolidation was “a Pru UK initiative” and unrelated to activity at the parent company.
Explaining the reasons behind the consolidation of the Prudential sales operations, Leeson said: “what we have seen over the last few years has been increasing confusion among some IFAs over product selection, between the international and UK product ranges. By making these changes, we expect to offer a more impartial service that will offer a complete range of both onshore and offshore products.”
A number of other life companies have also been trimming their staff in recent months to cut costs, or have been considering such steps, according to market sources. As reported here on 23 February, Skandia International recently made two of its senior sales managers redundant, following a review of its sales capacity. The news came after Skandia UK announced it would cut 150 jobs to help reduce its cost base by 20%.
Prudential International is based in Dublin, which means its products benefit from tax advantages. It was first launched in 1994.
The UK operation, the larger of the two Prudential teams by assets under management, is based in Reading, London and Stirling.
The main products offered by the international arm are the International Prudence Bond and the Portfolio Account. In the UK, it is best known for its Flexible Investment Plan, Personal Investment Plan and range of Dynamic Portfolio unit trusts. All the products are found on the company’s website, www.pruadviser.co.uk.
