A Shannon based firm is set to lose a quarter of its 300-strong workforce.

Lloyds Banking Group, which owns the St Andrew's Group in Shannon, has confirmed plans to cut 200 jobs at different locations across its insurance division and that 80 of those cuts will be at its Shannon operation.

The company manages insurance claims and customer service on behalf of various brands, such as MBNA, Sainsbury's Bank and AA Personal Finance.

Last July, the company cut 21 positions after confirming it would no longer be involved in the payment protection insurance market which formed part of the operation in Shannon.

In a statement this afternoon, Lloyds Banking Group said compulsory redundancies will always be a last resort and that the group's policy is always to use natural turnover and to redeploy people wherever possible to retain their expertise and knowledge within the group.

The other jobs cuts will be made at St Andrew's Group operations in the UK - Chester, Leicester, Edinburgh, Newport, Copley and West Yorkshire.

Lloyds have now axed 26,200 jobs and said today's cuts are part of its 'ongoing integration programme'.