Northern Rock to increase debt-related appointments

Northern Rock has announced plans to redeploy members of its workforce to the debt management sector as it expects the number of people struggling to pay mortgages and loans to increase in the next year, according to reports.

The company has overall plans to reduce its workforce by 2,000 employees in the next three years following the bailing out of the failing business by the Bank of England earlier this year.

However, at present 176 people work in the bank`s debt management division but this number is set to increase to over 400 by the end of March next year.

Other divisions will not be so fortunate with most set to be reduced by nearly half in the bank`s bid to cut costs, according to the BBC.

Northern Rock recently received a loan of £26.9 billion to help stabilise the company from the Bank of England. It has plans to pay back the first £7 billion by the end of this year.