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Barclays and NatWest Announce Job Cuts as Banks Report Strong Third-Quarter Profits
Barclays and NatWest announce job cuts as banks post strong third-quarter profits, with AI cited as a driver of efficiency gains.
Key points
- Barclays plans to cut roughly 5,000 jobs this year, around five per cent of its global workforce.
- NatWest's staff count fell by 1,000 in the last quarter, and it reported £420m in annual savings for the first nine months.
- Morgan Stanley doubled its forecast for AI-driven job losses across European banking to 400,000.
Why it matters. The article suggests AI is increasingly reducing bank headcount, and investors may question whether tech spending can deliver lower costs without compromising growth.
Barclays confirmed it will cut roughly 5,000 jobs this year as part of plans to save more than £1.1bn by 2027, with boss CS Venkatakrishnan saying AI is driving the bulk of efficiency gains. NatWest said its staff count fell by 1,000 in the last quarter, taking its total to 1,400 so far this year, and it reported £420m in annual savings for the first nine months. Morgan Stanley has doubled its forecast for AI-driven job losses across European banking to 400,000.
Latest updates
Barclays and NatWest Announce Job Cuts as Banks Report Strong Third-Quarter Profits
Barclays, NatWest, Lloyds and HSBC all reported strong third-quarter profits, with the combined haul reported at about £14 billion. The headline figures were overshadowed by sweeping job cuts announced across the sector. Barclays and NatWest were named in coverage as among the banks cutting roles. The reductions are being linked to efficiencies from artificial intelligence, which the report presents as the start of a wider squeeze on banking jobs. The reported figures are drawn from the quarterly results, and further detail on the number of roles affected is not included in the available coverage.
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