London jobs at risk as Deutsche Bank axes 500 global staff

The bank has already cut a number of senior and mid-level positions in both London and the US

Most of Deutsche Bank's UK staff are based in London (Reuters)

London banking jobs are at risk as Deutsche Bank embarks on a cost-cutting drive that could result in the loss of up to 500 staff across the business.

The bank is targeting investment and corporate banking jobs, with plans to axe between 250 to 500 staff as it struggles with a drop in performance in its securities division.

The news was first reported by Bloomberg, which said the lender has already started laying off staff, having already cut a number of senior and mid-level positions in both London and the US including its head of European energy investment banking Marc Benton.

It is understood other UK staff are still at risk as part of the efficiency drive and that not all lay-off notices have been delivered.

The Frankfurt-headquartered bank currently employs around 8,500 staff across the country, most of which are based in London.

Deutsche Bank declined to comment.

While it is likely to stoke fears over a further hit to the City in light of Brexit, the German bank itself last year reiterated commitments to the UK by signing a 25-year lease for a new London headquarters.

Deutsche has committed to taking up a minimum of 469,000sq feet of the 564,000sq foot building, with an option to take more space if needed. Staff are expected to be transferred to the new site during the second half of 2023.

However, it is still preparing to settle more of its transactions out of Frankfurt as part of its Brexit contingency plans and is likely to move hundreds of staff from London as a result.

PA