At 3.15 pm the sales force heard from Godfrey Blight, managing director of sales and marketing at GMAC-RFC, who revealed the lender will no longer originate loans.
He told staff: “It’s a long way off before we’ll be originating new business.”
Blight told sales staff that the firm will now be servicing international business from its UK headquarters.
He says GMAC-RFC has advised staff they will now enter into a 90-day consultation process with meetings beginning tomorrow.
One member of the sales force says: “It’s not unexpected but it is sad.
“It’s been really fun working there and I thought for a while that we would pull through but all sales force have been put in consultation.”
A release from GMAC-RFC says the lender has changed its strategy in order to work through the difficult market conditions.
It says the UK and continental European businesses will transition to form an international asset management company.
The company will be responsible for managing over £16bn of assets across four servicing platforms in the UK, Netherlands, Germany and Spain.
It says the focus will be on preserving value and quality and marketability of these assets.
Simon Knight will remain as chief executive of the new company.
He says: “While we have announced today this change of strategy, we retain our desire to lend in the UK and will continue to seek opportunities to do so, but given market conditions our priorities must change.”