A FURTHER 120 jobs are under threat at We Fight Any Claim, a claims management firm based in Cwmbran.

The firm's parent company, the We Plan Group, said a slowdown in how quickly banks were currently dealing with PPI (payment protection insurance) claims had "severely affected" We Fight Any Claim's expected income, having "a major impact on the business".

This is the second wave of possible redundancies to affect We Fight Any Claim in as many months.

In September, the firm announced up to 130 jobs could be lost, though clarified today (Wednesday) that it had reduced the number to 35 compulsory redundancies in that first wave.

MORE NEWS:

On both occasions, the firm said uncertainty had been caused by the PPI deadline on August 29 this year – the date by which people who believed they had been mis-sold PPI had to file claims.

PPI was an insurance policy offered on credit cards and loan repayments, among other things – but people who believed they had been mis-sold PPI because they, for example, weren't aware they had the policy or were advised to take out an unsuitable policy, could use firms like We Fight Any Claim to help claim back the money they were owed.

In August, the firm said, the number of PPI enquiries "increased significantly" as people wanted to register their claims before the deadline.

We Fight Any Claim suggested banks had done nothing to anticipate this rise in claims, creating a "log jam" and an 80 per cent decrease in the number of claims being resolved.

Richard Thomas, CEO of We Plan Group, said: ‘The banks have failed to take account of the expected increase in the volume of PPI claims, despite all the publicity around the PPI deadline.

"The inaction by the banks is having an impact not only on the hundreds of thousands of customers still waiting for their compensation, but also us and our employees.

"Once again we are entering into consultation with our staff and will do everything in our power to minimise the compulsory redundancies.

"We were successful in the first round in reducing the amount of staff impacted and will continue to offer a full support package for those that are affected this time."