StockMarketWire.com - Aviva revealed a plan to trim down its operations in a bid to cut costs by £300m in the next three years that could see up to 1,800 jobs axed.

The company said it would separate its life and general insurance businesses in the UK, while the digital direct business would be integrated into UK General Insurance.

The move is part of a plan to simplify the business as the insurer seeks to reduce expenses by £300m a year by 2022, net of inflation, at constant currency.

'Cost savings will be achieved through lower central costs, savings in contractor and consultant spend, reduction in project expenditure and other efficiencies,' the company said. 'This will involve approximately 1,800 role reductions across the group over the next three years, out of a total workforce of around 30,000.'

The company reiterated its commitment to a progressive dividend policy and debt reduction of at least £1.5bn.

The company also provided an update on year-to-date trading, saying weaker performance in savings and asset management, arising from lower investment markets, had been partly offset by growth in Europe and Asia together with progress on its turnaround in Canada.



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