The recently acquired brand will be absorbed into GHL's current network model as part of a restructuring strategy.
The decision was made following adjustments to GHL Group’s cost base and business outlook for 2008 and beyond.
The Group expects the transfer to be fully completed by the end of 2007, with Classic staff now entering a period of consultation. However Classic Appointed Representatives will not have their commercial terms affected.
Instead, they will now have full access to GHL Group’s network services, which includes full compliance, training and marketing services, access to a secured loans proposition and field support from business development managers and compliance inspectors.
Classic managing director, Howard Duff, has accepted the newly created position of head of insurance services at GHL Group, which will see him develop and support the group’s full repertoire of insurance services.
GHL Group managing director, Nigel Gardner said: "In order to maintain and improve the level of services we provide to our distribution, it has been necessary to review our group structure and cost base. We have therefore decided that Classic Network Solutions will be closed and the support functions provided to their members will transfer to GHL Group. The decision to absorb the Classic brand will undoubtedly enhance our offering to the Classic members.”
