Insurance and broking staff at Lloyds TSB are braced to receive redundancy notices as the banking group announced it is to cut 5,000 jobs.
The cuts were announced as the financial services group revealed a fall in total profits although its general insurance operations achieved a record profit.
The cuts over the next year will result in a net loss of 3,000 positions because the company intends to create 2,000 new jobs.
Lloyds TSB is the UK¹s third largest general insurance broker.
The job cuts will fall mainly on the group's administrative workers while the new positions will be in customer services. Lloyds TSB has not yet decided where to wield the jobs axe.
A spokeswoman said: "The job reductions will be across the board but not in customer facing roles.
"We can't say if there will be any in insurance and broking because it hasn¹t been decided yet."
She could not say exactly how many insurance staff could be affected but added: "If there are any, it would be very small numbers."
The bank said the cuts were needed to save costs. It aims to make them through voluntary redundancies and natural wastage.
