Barclays plans 5,000 job cuts this year as it expands AI use

Barclays says it expects to cut a further 4,000 jobs by the end of 2026, bringing this year’s planned reductions to about 5,000 as the bank invests in technology and artificial intelligence.

The group said 1,000 posts had already been closed. The total planned cuts amount to about 5% of its global workforce, with most affecting operational and functional roles.

Chief executive CS Venkatakrishnan said the reductions were “a result of the investments which we've made into technology over a number of years and which we continue to make”. Barclays said AI was helping make some work processes more efficient.

The cuts come as the bank approaches the end of a three-year cost-cutting programme focused mainly on its UK retail banking arm, although its investment banking division is also affected.

Barclays reported a £2.3bn profit for its latest three-month period, higher than a year earlier but slightly below forecasts. Economists are watching company results for signs that investment in technology, including AI, is improving efficiency and reducing staffing needs.