Moneysupermarket takes axe to jobs

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The price-comparison website is slashing nearly 10 per cent of its workforce in the face of worsening market conditions.

The company, which is more than 50 per cent owned by chief executive Simon Nixon, said it would lay off at least 50 of its 650 staff by the end of next week.

The firm warned of job cuts at the start of July after a big client, Barclays' secured loans firm Firstplus, closed to new business. This threatens to wipe £5m off Moneysupermarket's second-half profits. The cuts are principally from its Mortgage 2000 subsidiary, which offers support services to the home loans market.

The move comes after Moneysupermarket, which has lost over half its value since floating last year, rejected an approach from a private equity bidder. Its share price leapt 22 per cent on Wednesday to 84.25p, and closed on Friday up 8 per cent at 94.75p.