Wave on brink of crashing, say sources

Industry sources are adamant that Merrill Lynch is to close Wave.

The US investment bank has refused to comment on the rumours but sources close to Merrill have confirmed to Mortgage Strategy that 25 to 30 staff risk losing their jobs, although Wave is still a going concern.

But the sources refused to be drawn on whether Wave chief executive Colin Snowdon faces redundancy. Snowdon declined to comment.

Other sources say Merrill has decided to axe the brand, which it bought from Freedom Finance in July 2006.

A former Merrill employee says: “We’ve been told it’s a done deal.”

The sources add that at a meeting last Wednesday the lender was given 30 days’ notice of closure.

Another source close to Wave says: “It’s inevitable as Wave has not been doing a lot of business for a long time.”

A leading pundit says: “Wave’s closure would mean the loss of talented staff through no fault of their own.”