Barclays To Close 1/4 of Its Branches In UK

The Bank is likely to replace about 400 branches with smaller outlets in Asda supermarkets.

The job cuts come on top of 3,700 layoffs announced early last year.

Chief Executive Antony Jenkins is also expected to unveil new five-year financial targets next month.

He has been looking to improve profitability in the face of falling trading revenues and tougher regulations.

Jenkins, who took over from Bob Diamond following the Libor rate scandal, plans to cut £1.7bn ($2.8bn) from annual expenses by next year.

The new cost-cutting plan will entail closing branches and encouraging customers to use new banking technology, such as smartphone applications.

The London-based bank is also restricting international travel to "essential" external meetings, in an attempt to control expenses.

Barclays' investment banking division employs a large percentage of the bank’s 140,000 global employees.

Up to 400 senior managers, mostly in London and New York, are expected to be made redundant.

Last year, Barclays announced 1,800 job cuts in corporate and investment banking and 1,900 in its European retail and business banking.

Many major banks have been undergoing structural shake-ups due to the impact of the weak global economy and changing regulatory environment.

Barclays is scheduled to release its annual results on 11 February.

Co-operative Bank has also announced that it would shrink its branch network following a recent £1.5bn capital-raising exercise.

By Beth Nyaga

Source: BBC News