Anglo Irish Bank is preparing for another round of redundancies this year on top of the 230 it recently laid off as part of a restructuring plan to "right-size" the bank for the post-Nama market, a senior Anglo source said.

The nationalised bank, which has let go about 500 employees in the past year, is understood to be seeking at least another 200 job cuts as chief executive Mike Aynsley implements his "hybrid solution" to split Anglo into a "good bank" business lender and a "bad bank" asset run-off vehicle which will gradually dispose of the institution's remaining lossmaking loans.

Executives are moving ahead with the plan on the understanding the European Commission will ultimately endorse its business plan, which was submitted for approval and compliance with state aid rules in November, the source said.

The commission responded earlier this month with a list of 101 questions Anglo and the Department of Finance need to answer to get the final sign-off. To expedite the process, the Anglo board is seeking three-way talks between the bank, the commission and the department so all concerns can be addressed to common satisfaction.

The board also submitted a list of candidates for non-executive directorships to finance minister Brian Lenihan last week.

The bank wants to appoint three new directors to bring the total number to seven. Public interest board member Frank Daly resigned from the Anglo board at the end of 2009 to take up a new position as chair of the Nama board, leaving just Aynsley, chairman Donal O'Connor, Maurice Keane and public interest director Alan Dukes.