Mortgage bank Bradford & Bingley has revealed it had to pay £2m for extra insurance, following the collapse of Independent Insurance.
The payment contributed to disappointing interim results, which saw profits, excluding one-off charges, remain flat at £129.8m.
The company also announced that it is to shed 500 back-office jobs in an attempt to save £30m by the end of next year.
Many of the bank's customers moved their mortgages elsewhere after collecting their windfall payments from Bradford & Bingley.
