Hundreds of Wearside callcentre staff have been told their jobs are safe after a deal was reached to transfer them to a new employer
UK Asset Resolution Limited, the financial institution set up to handle the bad debts of Northern Rock and Bradford and Bingley, has been looking to offload its mortgage servicing operation, which includes the former Northern Rock callcentre at Doxford International - now part of NRAM plc.
After a competitive process, the firm has entered into a period of exclusivity with Australian firm Computershare.
If successful, the deal would see Computershare take over responsibility for £30billion of assets which will continue to be owned by Bradford & Bingley (B&B), Mortgage Express and NRAM, for a seven year term.
Around 1,700 staff based in Sunderland and West Yorkshire will transfer to Computershare,, with UKAR retaining around 250 employees who will continue to manage the balance sheets of NRAM and B&B on behalf of the Treasury.
Richard Banks, Chief Executive Officer of UKAR, commented: “The ability for UKAR to proceed with the divestment of its mortgage servicing capabilities demonstrates the value of the excellent debt management and customer service skills it has deployed.
"Today’s announcement is great news for customers and the taxpayer. The transaction will establish a long term strategic solution for our mortgage servicing activities providing continuity of service for our customers and a sustainable future for our employees.”