Funding Circle to cut 120 jobs, CFO to step down

Funding Circle said on Wednesday that it was planning to axe around 120 jobs as part of its cost-cutting and streamlining efforts, as it announced the departure of chief financial officer Oliver White.

The commercial lender said it was looking to save around £15m in 2025 and that the cost efficiency actions launched will result "in a simpler, leaner and better positioned UK focused operation".

Non-recurring costs to achieve these changes are expected to be about £5m, which will be recognised in 2024.

The company also announced that CFO Oliver White plans to stand down after the first-half results in September. White, who will leave the board at the end of 2024, will be succeeded by Tony Nicol, currently director of finance and investor relations. Nicol was previously group financial controller at IG Group.

Funding Circle said its year-to-date performance has been in line with expectations and it remains on track to meet full-year guidance.

"In the US, discussions regarding a potential transaction are progressing well and an update on the outcome will be provided in due course," it added.

Chief executive Lisa Jacobs said: "We are pleased to report continued momentum on the path we set out in March to become a simpler, profitable business. The reduction in roles is not a decision we took lightly, and I would like to thank all the departing team for their hard work and commitment.

"I would also like to thank Oliver for his unwavering dedication to Funding Circle - it has been a pleasure to work alongside him. I am delighted to see Tony, who has been with the group for six years, stepping up into the CFO role. Looking forward, we will continue to execute against our plan to capture growth in a large underserved market as a simpler, profitable UK business."