HSBC to sack thousands in UK

9 June 2015

HSBC The latest swathe of big job losses, and HSBC has said that they plan to axe thousands of jobs in the UK, in measures that will see 25,000 posts being lost worldwide by the end of 2017. It seems the number is going to be somewhere between 7,000 and 8,000 jobs.

This also means that there's likely to be a lot of branches closing in the UK too, as HSBC told investors that they're targeting a 12% reduction in the number of branches across its top seven markets.

HSBC are looking at $5bn in cost-savings by 2017, so they've got a lot of work to do, which means a lot of bad news for staff. The world's local bank are looking to sell off the majority of their Brazilian operation and a lot of their Turkish arm.

In addition to all this, after having their headquarters in the UK since the '90s, the bank are weighing up a move elsewhere - presumably somewhere with a 'different' tax system. A lot of banks and financial institutions are looking at similar moves after the general election, as there's been a rise in the Bank Levy, which imposes a charge on the balance sheets of UK-based lenders.

As it happens, HSBC pays the largest sum towards the levy by some distance.

HSBC still has to sort out the huge penalties that will be coming their way from American authorities after their role in the manipulation of foreign exchange markets, and also, they're still being investigated in the probe the Swiss tax evasion scandal.

TOPICS:   Banking

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