Job cuts warning over Prudential's M&G merger plans

Prudential has announced plans to merge its M&G asset management arm with its UK life and pensions business, but warned of job losses under cost-cutting plans from the move.

Prudential and M&G employ nearly 7,300 people in the UK. Picture: Dominic Lipinski /PA Wire

The insurance giant said the combined business will be called M&G Prudential and will manage £332 billion of assets for more than six million customers in the UK and internationally.

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It revealed that job cuts are likely as it looks to save £145 million a year by 2022, but it said it was too early to say how this will affect the combined workforce of nearly 7,300 in the UK.

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Prudential chief executive Mike Wells said: “M&G and Prudential UK & Europe have a long history of collaboration and we are fortunate to have two highly respected brands.

“Combining these businesses will allow us to better leverage our considerable scale and capabilities.”

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