Engineering giant Rolls-Royce has revealed plans for a 'major restructuring' project as it attempts to save £150-200 million a year.

Earlier this month, Rolls-Royce issued its fifth profit warning in less than two years. Chief executive Warren East, who started the job in July said the restructuring plans would "simplify the organisation, streamline senior management, [and] reduce fixed costs".

Mr East: "As a group we are undergoing an unprecedented period of change... these changes, while more painful than we expected in the near-term, are vital to our long-term success.

"This is fundamental to ensuring Rolls-Royce best positions itself to compete for the long term opportunities before us."

Rolls-Royce has previously said it would cut around 3,600 jobs across the company. And earlier this month, it said a large number of job cuts would come among its 2,000 managers.