U.K. money manager M&G will cut about 4% of its workforce in an effort to reduce costs, according to a trading update Thursday.
The cut of about 200 jobs will become effective in the last quarter of the year and first quarter of 2024.
M&G launched a voluntary redundancy program in March. The firm said it is on course to deliver better outcomes to clients and cut costs by completing the redundancy exercise.
A spokeswoman said the departures will be across the firm. Details of the types of roles that will be cut as a result of the redundancies were not disclosed.
M&G is also downgrading its office space. “We are right sizing our office footprint to reflect the needs of the business. During the first half of the year, we have concluded subleases on surplus space in our London estate. Work will continue on reviewing our footprint in the second half of the year,” the update said.
The firm’s group AUM increased 0.6% to £344 billion at the end of the first quarter.
Institutional assets fell in the first quarter of 2023 by 2.1% to £97.1 billion. The drop in AUM was attributed to net outflows of £900 million and market impacts, the firm said in the update.
M&G also said Clare Bousfield, CEO of retail and savings and former chief financial officer, will depart from her role in the autumn. Her role will be split into two CEO roles, leading wealth and life insurance businesses. M&G has not yet filled those new roles.
