Thousands of jobs in UK face axe as investment arm ‘downsized’
Thousands of jobs are at risk in the city as UBS takes over embattled lender and rival Credit Suisse
Thousands of jobs are at risk in the city as UBS takes over embattled lender and rival Credit Suisse.
Credit Suisse employs around 5,000 people in the UK, making the company one of the largest investment banking employers in the country.
UBS has around 6,200 employees in the UK, many of them based in the City of London.
Write on the wall: There are questions about what this deal could mean for many UK jobs
Colm Kelleher, chairman of UBS Group, said in a statement that the partnership offers “enormous opportunity”, adding that his bank’s long-term goal would be to “downsize” Credit Suisse’s investment banking business and bring it into line with the “conservative culture’. from UBS.
While the takeover creates one of the largest banks in the world, with a balance sheet of around £1.3 trillion, there are questions about what this deal could mean for many UK jobs.
The city’s regulator, the Financial Conduct Authority, said it is likely to approve the deal, stating it will continue to ‘work closely with UK and international regulatory partners to monitor market developments’.
The Bank of England said: ‘We have worked closely with international counterparts in preparing for today’s announcements and will continue to support their implementation.
“The UK banking system is well capitalized and financed and remains safe and sound.”
News of the buyout was also welcomed by the US central bank.