Lloyds poised to axe hundreds more jobs


Lloyds Banking Group is poised to announce hundreds of redundancies today as part of a restructure that will result in a 10 per cent reduction in headcount.

The bank, which already revealed 1,000 jobs would be cut back in November, and a further 1,755 jobs to go from its retail and commercial businesses, as well as consumer finance and legal departments two months ago, is expected to confirm the loss of a further 300 roles today, according to Sky News.

In total the bank is planning to make 9,000 positions redundant. It has already cut around 5,600 from the payroll.

The bank - which is still part-owned by the state - declined to comment to City A.M this morning.

"Colleagues would always be informed first," the spokesman added.

But it comes amid a major shake-up of the entire sector, which is coming under pressure from regulators and a paradigm shift in consumer behaviour. Earlier this month, the IMF called for urgent reforms to be made to European banks' business models, claiming a third would be hit by a profitability crisis.

European firms including Credit Suisse and Deutsche Bank are among those planning to drastically reduce their headcount as they look to cut costs.

Chancellor George Osborne is poised to sell off the remaining nine per cent stake in Lloyds, offering discounted shares to ordinary investors later this year, but has delayed the sale because of market conditions.

Lloyds' share price was up 0.8 per cent in mid-morning trading.

Full story: Lloyds poised to axe hundreds more jobs: City A.M.

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