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The group revealed the proposed redundancy of almost 900 staff as part of the ‘first phase' to make £100m gross annual cost savings by 2014.

Insurance Age understands that between 50 and 60 jobs are at risk on the commercial side which includes broker-only business NIG, Direct Line for Business and BIS.

A spokesperson confirmed that the commercial redundancies will mainly impact staff in head office, support functions and risk management and sales.

She said NIG had already undergone big changes

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