The holding company for the Government-owned companies of Bradford & Bingley plc and Northern Rock (Asset Management) plc (NRAM) is to shut one of its offices.

UK Asset Resolution Limited (UKAR) wants to focus the business in Doxford (Sunderland) and Crossflatts (Bingley). This will involve the phased withdrawal of staff from its Gosforth site in Newcastle to be completed by mid-2013.

Around 700 people are employed in Gosforth out of a total workforce of 2400. The majority of Gosforth staff will be offered the chance to relocate to the nearest UKAR site which is approximately 18 miles away. Some roles will also transfer to Crossflatts.

Richard Banks, chief executive of UKAR, said: “Our job is to manage the wind down of the mortgage books. By the end of 2013 we expect the number of mortgages to have reduced by 25% since UKAR was established. As a consequence