Ted Baker is restructuring its head office team in a bid to drive cost efficiencies after “a very challenging year”.

The fashion retailer’s head office restructure, which has been launched in a bid to “simplify and de-layer the group’s organisational structure”, will result in 102 roles being made redundant and a further 58 vacancies being removed from the business.

The move, which has been made following a cost base review by AlixPartners, is expected to save the retailer £5m in its current financial year and £7m on an annualised basis.

One-off costs of £2.7m will be incurred as a result of the restructure.

Ted Baker warned the reduction in its head office headcount “is the first of a range of expected initiatives to improve the efficiency and cost structure of the group”, with management to provide updates in due course.

Ted Baker reduced the headcount of its executive team from 13 to nine and is in talks to sell its London headquarters in further bids to drive cost efficiencies.

Acting chief executive Rachel Osborne said: “2019 was a very challenging year for Ted Baker, but I am confident about the future growth prospects for the group. The strategic priorities we are announcing today will re-energise the Ted Baker brand and improve our customer proposition, ensuring the long-term success of the business.

“We recognise that to support these priorities we need to become more efficient, simplify our structure and reduce our cost base to more sustainable levels for the future.

“The changes we are announcing today are difficult because colleagues across the business have been working hard in what has been a challenging period for Ted Baker. I would like to thank all of them for their commitment and the passion they have shown for the business.

“The board and I believe that we will only realise Ted’s long-term potential by transforming the way the business operates and the actions we are announcing today are important steps in that transformation.”