Several redundancies have been announced as part of the restructuring. Bryan Ashby, a career banker, formerly with the National Bank, has been appointed to manage credit approval and processing. Sales and marketing, which will include responsibility for building business from existing customers is being run by general manager sales and service, Alex Polaschek.

There will be more marketing direct to existing customers and less emphasis on obtaining business through mortgage brokers.

Public Trust spokesman Henry Davies said that the job losses and reorganisation had been driven by changes in the contractual relationships with a portfolio of mortgages managed by the organisation and the separation of sales from other aspects of the mortgage business.

Mortgage lending forms part of the investment management work of Public Trust; it has a $300 million mortgage portfolio.  Previously a third of lending was for residential purposes, a third for residential investment property and a third commercial.

Davies said that the organisation planned to increase lending on residential mortgages, aiming to sell more loans to existing customers where there was potential to form long-term relationships.

Typically, a relationship would start when a customer had a will drawn up by the Trust which could go on to provide a variety of other financial services including mortgages throughout the individual's life.