Barclays has announced it will cut 5,000 jobs by the end of the year, representing approximately 5% of its total workforce, as part of a cost-saving drive linked to investments in technology and artificial intelligence.
The banking group said 1,000 posts had already been closed, with 4,000 more to go by the end of 2026. The announcement follows the bank reporting £2.3 billion in profit from July to September, up 12% from the same period last year.
Where the job losses will hit
Most of the job losses are anticipated to occur in Barclays' home market, primarily impacting operational and functional roles. However, the bank stated that its workforce will be affected globally.
Approximately 60% of the job cuts involve operational and functional roles, including positions for developers.
Bank's rationale for the cuts
Barclays Group chief executive CS Venkatakrishnan said the job cuts were "a result of the investments which we’ve made into technology over a number of years and which we continue to make".
He continued: "That is driving the bulk of the efficiency gains that you've seen so far. AI has an important role to play and may have a more important role to play in the future.
"I've often said that it is the icing on the cake – it's not the cake – because you need to do the infrastructure build to get the benefits of AI. We have been focusing on the infrastructure build, and where the infrastructure is modern, we’ve been applying AI."
A Barclays spokesperson said: "We are positioning Barclays for the future, building the workforce and skills needed to deliver our strategy and meet the evolving needs of our customers and clients.
"In doing so we are committed to helping our colleagues develop and build rewarding careers, while meeting the changing needs of customers and clients and ensuring Barclays continues to succeed in the years ahead."
Context and timing
Barclays is coming towards the end of a three-year strategy to boost performance, which has involved major cost-cutting and ramping up technology capabilities.
The news comes less than a week before Chancellor John Healey delivers the Autumn budget, the first in Andy Burnham's Labour government.
