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Axa to cut 350 jobs as profits rise by 2 per cent

Axa is undertaking a strategic review of its life and savings business which will result in the loss of around 350 jobs as it announces that UK earnings rose by 2 per cent to £186m.

In its interim results released today, Axa reported that its UK life and savings underlying earnings increased by 75 per cent from £72m in the first half of 2008 to £126m in the first half of 2009.

But it said it would be looking to increase efficiency to ensure it comes out of the economic downturn in a stronger position and would be undertaking a strategic review of the life business which will result in the loss of around 350 roles.

Axa UK group chief executive Nicolas Moreau says: “We have made considerable progress in the last six months.

“The Insurance business’s focus on driving profitability is starting to show some positive signs; in Healthcare the International business is now performing strongly and the Life and Savings businesses continue to execute successfully their strategy while reviewing their operations to reduce their cost base significantly, which I acknowledge also involves making difficult decisions that impacts on employees.”

Global underlying earnings for the insurance giant were down 26 per cent to £1.8bn.


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