HSBC is planning to cut up to 300 jobs at its commercial banking business in the UK as part of a restructuring plan, Reuters reported citing sources familiar with the development.
In June, HSBC Holdings decided to resume its initial plans to axe 35,000 jobs that it had postponed due to the Covid-19 pandemic, which tanked its profits.
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The bank had planned to cut $4.5bn in costs at underperforming units in the US and Europe.
A spokesman for HSBC said: “In line with the Group strategy announced in February, we continue to restructure and review the roles required to transform the bank.
HSBC CEO Noel Quinn said that these cost-cutting measures are required in order to improve the bank’s profits.
In August, the lender warned that loan losses could go as high as $13bn as the pandemic has impacted its corporate and retail banking customers globally.
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By GlobalDataIts commercial banking business in Britain offers loans and other banking services mainly to small business clients.
Last month, HSBC was is in the advance stage of talks to sell its French retail business to American private equity firm Cerberus Capital Management and another unnamed investor, Reuters said.
In its first-half results, HSBC France’s private banking and wealth management business posted an adjusted loss-before-tax of €225m.
The report comes close on the heels of China-based Ping An Insurance Group buying an additional $39.4m worth stake in HSBC during the stock sell-off.
