United Kingdom
Location of affected unit(s)
Norwich; York; Glasgow; Sheffield; Cambridge; Perth; Newcastle; Eastleigh; Stevenage; Bristol; Birmingham; Worthing; Belfast
Financial Services
Financial And Insurance Activities
Insurance, Reinsurance And Pension Funding, Except Compulsory Social Security
65 - Insurance, reinsurance and pension funding, except compulsory social security
New offshoring locations

4,000 jobs
Number of planned job losses
Job loss
Announcement Date
14 September 2006
Employment effect (start)
1 January 2008
Foreseen end date
31 December 2008


Aviva, the UK's biggest insurer, is to cut 4000 jobs in its UK insurance business Norwich Union by 2008 as it seeks to cut costs. Aviva said 1,000 of the jobs to be lost would be offshored to India, with about 500 to be outsourced. The firm is aiming to save £250m a year in 2008, at a cost of £250m by the end of next year. About half of the staffing reductions will be compulsory. Norwich Union employs about 36,000 people in the UK and the restructuring plans will trim about 11% of its total staff. Patrick Snowball, Norwich Union's Executive Chairman, said changes in consumer habits meant the company was facing more and more competition. 'Consumers, independent financial advisers and brokers are increasingly operating in a self-service world.' 'Customer's buying habits are changing rapidly as technology becomes more accessible, demonstrated by the fact that 50% of our new direct motor insurance policies are now bought online.' Dave Fleming, national officer of Trade Union Amicus, said: 'This is absolutely brutal. Compulsory job cuts and offshoring on this scale will not be accepted by us or our members.'


  • 15 September 2006: The Financial Times
  • 14 September 2006: BBC News


Eurofound (2006), Norwich Union, Offshoring/Delocalisation in United Kingdom, factsheet number 64081, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/64081.