HSBC to Cut 8,000 Jobs in UK, Sell off Turkey and Brazil Operations

British bank HSBC is planning to cut 8,000 jobs in the UK as it tries to reduce costs and simplify its business.

Europe’s biggest bank has 48,000 workers in the UK and will make cuts in both its retail and investment banking operations.

A total of 25,000 jobs could be axed worldwide, meaning close to 10% of HSBC’s 266,000 workers will go.

HSBC will also ring-fence its UK operations and sell businesses in Turkey and Brazil, it said on June 9.

The news comes ahead of a presentation that HSBC CEO Stuart Gulliver will give to investors and analysts in his second major strategy plan since taking up the role in 2011.

In a statement, Stuart Gulliver said: “We recognize that the world has changed and we need to change with it. That is why we are outlining the following… strategic actions that will further transform our organization.”

The 10-point plan aims to cut costs by up to $5 billion and increase investment in Asia – particularly in China.

Stuart Gulliver: “Asia [is] expected to show high growth and become the centre of global trade over the next decade.

“Our actions will allow us to capture expected future growth opportunities.”

HSBC’s Hong Kong-listed shares rose almost 1% following the announcement, but remain down 9% over the past 12 months.

The bank said it would make a decision on whether to move its headquarters out of the UK by the end of the year.

There has been speculation that HSBC may relocate its headquarters to Hong Kong since it announced the review in April.