National Australia Bank (NAB) has announced a series of organisational and executive changes as a result of the demerger of the UK-based Clydesdale Bank and the sale of 80 per cent of its life insurance business to Nippon Life. Similarly to ANZ’s move several months ago, the bank has decided to bring its wealth distribution business closer to its main retail banking business, forming a combined consumer banking and wealth management division that will be headed up by former NAB Wealth group executive Andrew Hagger. The bank specified in its statement to the ASX that Hagger would continue to lead the life insurance business sale, which was due to complete in the second half of 2016. Former personal banking head Gavin Slater will depart the bank, as will group executive for governance and reputation Michaela Healey and group executive for enterprise services and transformation Renee Roberts. Further, the wealth products section of NAB will now be run under the combined department of customer products and services, which is also to include banking products, strategy and digital, venture capital and corporate affairs. Pevious group executive for product and markets, Antony Cahill will lead the division. Meanwhile, the operating function of the old wealth business is to move to the new technology and operations division, temporarily led by Bob Melrose. NAB’s business and private banking divisions have also merged, to be headed up by Angela Mentis, and will incorporate the bank’s small business segment as well as its private wealth advice firm, JBWere. Its corporate and institutional banking business will now comprise the corporate banking division, which had previously sat under the business bank, as well as fixed income, currency and commodities, capital financing, asset servicing and international. The bank is undertaking a recruitment process for the head of this business, while former executive general manager for corporate and specialised banking Cathryn Carver is temporarily appointed to the position. Speaking to the changes, NAB chief executive Andrew Thorburn said the Clydesdale demerger and sale of the life business had provided the impetus for a refresh in the bank’s organisational structure. “We have made a lot of progress in our core business, but another step change is now needed,” Thorburn said. “Our customers will benefit from a more integrated banking and wealth offering, while the formation of the corporate and institutional banking business unit brings together a range of products and services critical to the success of our corporate and institutional customers under the responsibility of a single senior executive.”
National Australia Bank (NAB) is set to undergo organisational and executive changes following the sale of 80% of its life insurance business to NAB Wealth. The bank is expected to create a combined consumer-banking and wealth-management division and enhance its technology and operations division. Nippon Life group executive Andrew Hagger will become the head of the combined wealth management and consumer banking unit while a merger between the banks' business and private banking divisions will be headed up by Angela Mentis.