INSURANCE giant Norwich Union is to expand its office in Ipswich as part of a major restructuring which will lead to the loss of 325 jobs across the country.

INSURANCE giant Norwich Union is to expand its office in Ipswich as part of a major restructuring which will lead to the loss of 325 jobs across the country.

The changes are part of a restructuring due to be completed by the end of next year which, says Norwich Union, is designed to offer customers more specialist advice.

Among the claims centres to be closed are those in Chelmsford and Basildon, together with centres in Luton, Northampton, Croydon, Bristol, Cheadle, Nottingham, Leeds, Edinburgh, and Bishopbriggs, near Glasgow.

Centres being expanded including Ipswich, Southend-on-Sea, Exeter, Cardiff, Liverpool, Manchester, Preston, Bradford, Newcastle, Glasgow and Dundee.

A Norwich Union spokeswoman said today that about 20 more staff were expected to be taken on at the Ipswich site.

A total of 65 people employed by the company in Chelmsford would be affected by the change, and a further 85 at Basildon.

All of those currently based at Basildon were expected to transfer to Southend while there was a possibility of those from Chelmsford being re-deployed in either Southend or Ipswich over the next 18 months.

Those who could not be offered new jobs elsewhere would be offered redundancy packages, she added.

Norwich Union claims director Simon Machell the company was keen to build up areas of expertise, including in motor and household insurance, within the remaining centres.

"By developing larger, more specialist sites, we can give brokers and customers easier access to better trained staff, who will have a greater depth of expertise in dealing with claims.

"Any job losses are regrettable, but we believe these changes give our remaining staff longer-term stability and the opportunity to develop specialist skills," he added.

Norwich Union is part of the London-based CGNU group, which plans to change its name to Aviva next month. The first phase of closures will take place by the end of September, with the remaining centres going by the end of next year.

The changes at Norwich Union echo reorganisation by rival insurance group AXA which announced last month that it is to cut 700 jobs nationally and transfer around 150 more people to new locations.

Among the changes is the closure of the AXA call centre in Colchester, which has a workforce of 320, and the expansion of the centre at Ipswich, where the number of new jobs has not been specified.