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RBS to cut 3,000 jobs

14/11/2008

Royal Bank of Scotland (RBS) is to cut 3,000 jobs worldwide.

The troubled banking giant has struggled to manage within the current economic downturn and is being partly taken over by the UK government.

Of the jobs to be lost 1,000 are expected to go from its UK workforce of 100,000.

The Times has reported banking sources saying RBS was simply responding to market conditions.

"Everyone is doing this. You could say RBS has been a bit late," the paper reported one source said.

Currently the bank is facing a takeover by Lloyds TSB, which could create a single 'super bank', with a huge share of UK mortgages and accounts.

The government has waived the usual competition rules, which apply when one firm or service dominates any single market.

Gordon Brown is in favour of the takeover: "Apart from Lloyds TSB, no serious bid that is funded has actually come forward," he said recently.

 

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