Expansion At HSBC As Halifax Cuts Back

While the HSBC bank has said it is to create 20 new jobs when it opens a new branch at Royal Avenue in Belfast shortly, a leading estate agent - the Halifax - is cutting back.

Hit hard by the combination of falling house prices and the credit crunch as buyers are putting plans to move on hold and those who still want to go ahead struggle to raise the finance they need, it has emerged that estate agents nationally sold an average of just six properties each during July.

The shock figures from the National Association of Estate Agents has hastened news of branch closures at the Halifax.

The closures will lead to up to 100 job losses nationwide, although the group said the majority of staff employed in the affected branches would be transferred to similar roles in its branches.

A Halifax spokesperson said they were not releasing details of which branches will close at this stage, including the 16 branches in the Province.

She added: "Halifax will continue to have a presence in Northern Ireland.

"We will be focusing our business on areas where we are strong, including the north of England and the Midlands," she said.

The company said the move followed a need to reshape the business in the current market conditions, following a significant decline in housing transactions in recent months.

Halifax added that the smaller branch network would enable it to focus on towns where it has a strong market presence.

A total of around 550 staff will be affected by the move, but Halifax said around 450 of these people, many of whom are mortgage advisers, would be transferred to similar roles in its banking branches over the coming four months.

But up to 100 jobs will go by natural staff turnover or voluntary redundancy.

More positively, the HSBC bank development will bring the international bank's number of outlets in Northern Ireland to six, with plans for more over the next three years.

HSBC now employ a total of a 110 people in Northern Ireland.

Cecil Russell, HSBC Regional Director for Northern Ireland, said: "This new opening is part of HSBC's continuing expansion plans."

(BMcC)