Spending on compliance staff and lawyers hits Deutsche Bank's costs

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Surging spending on compliance staff and lawyers has pushed Deutsche Bank’s costs up, despite sustained efforts to slash the expenses, the lender’s annual report has revealed.

The Daily Telegraph reports that more than 101,000 staff are now employed at the troubled bank, breaking the six-figure mark and representing a rise of almost 3,000 over the previous year. More than 8,000 of those are in the UK.

CEO John Cryan has spoken of the need to cut costs after Deutsche made a loss of $7.56bn in 2015.

He wants annual adjusted costs to fall below $24.46bn in 2018, but legal bills and rising headcount are impeding progress towards that objective. Costs in 2015 rose to $29.5bn, up from $27.8bn in 2014.

More than 3,000 extra staff were hired to strengthen the bank’s ability to monitor and control its operations, with risk, compliance and audit leading the hiring spree.

To access the complete Daily Telegraph article hit the link below:

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