First Active in Athlone to merge with Ulster Bank

First Active in Athlone is set to close its doors by late this year after the banking group announced plans to merge services with Ulster Bank across the island resulting in the loss of 750 jobs. It means staff at the Athlone branches of First Active and Ulster Bank are expected to be offered voluntary redundancy. Formerly First National Building Society, First Active was acquired by Ulster Bank Limited, part of The Royal Bank of Scotland Group back in 2003. The specialist mortgage and investment arm currently operates in Athlone from an office in Church Street with the Ulster Bank branch base a short distance away in Mardyke Street. In a statement on Tuesday the company said following the merger all aspects of the First Active business will trade under the Ulster Bank brand. The amalgamation of First Active and Ulster Bank is expected to be completed towards the end of 2009 and will result in an organisation with over 1.8 million customers and 295 branches and business centres across Ireland, north and south. During this time all First Active customers will be automatically transferred to Ulster Bank with the same terms and conditions and the bank stressed it will be business as normal. However, should customers have any immediate queries they can call the following helpline number 1800 303 068 or log onto www.firstactive.ie. In locations like Athlone where there is both a First Active branch and an Ulster Bank branch, one of the branches will be closed and the other will be branded Ulster Bank. As a result of the merger 550 jobs are to go at its operations in the Republic and a further 200 in Northern Ireland. Chief Executive Cormac McCarthy said earlier this week he is confident that Ulster Bank can secure 750 redundancies on a voluntary basis across the group. The company says a voluntary severance package will be made available to staff throughout the group and meetings will be held shortly to discuss the merger and redundancy terms with staff. The company statement said the changes will ensure that a wider level of services will be available to First Active customers and will result in a leaner, more cost efficient organisation, well placed to continue to meet the needs of the changed marketplace. Ulster Bank Group, a subsidiary of Royal Bank of Scotland, employs 7,000 people in both the Republic and in Northern Ireland.