Lloyd’s seeks voluntary redundancies as it reviews structure

The Corporation of Lloyd’s has written to all its staff asking them to register their interest in voluntary redundancy.

The Corporation of Lloyd’s, which refers to the infrastructure of Lloyd’s itself rather than the syndicates that write business there, employed 1,124 people in 2016, according to its annual report.

Confirming the redundancy programme, first reported by the Insurance Insider, a Lloyd’s spokesman said:  “We have been looking at the future operating model for Lloyd’s including our proposed structure, our processes and technology, so it can ensure that we are easy and efficient to do business with.

“What we are announcing is the opportunity for people to register their interest in the programme and this will help inform how we continue to develop our plans around the operating model.”

The Corporation is aiming to produce final details of its operating model by the end of the third quarter this year.

Lloyd’s has not set a specific target for the number of voluntary redundancies, but Lloyd’s has previously highlighted that it is keen to keep costs in check to ensure it remains a competitive place to do business.

Lloyd’s chief executive Inga Beale said in the Lloyd’s annual report: “For 2017 we reduced the cost of subscriptions to the market by 10% and alongside this are making changes to how the Corporation is structured and interacts with the market. This new operating model enables us to focus on the role market participants expect from us; to protect, promote and provide the services they need.

“We expect this to deliver further cost reductions to the market in the future.”

While Lloyd’s is aiming to keep costs down for those who write business there, Lloyd’s chief financial officer John Parry admitted in March that the market would levy members to cover the cost of its planned post-Brexit unit in Brussels.