The Royal Bank of Scotland (RBS) is planning to cut another 2,600 jobs in the UK over the next year. The bank revealed most of the losses will be in its insurance division, which includes Direct Line, Green Flag, Privilege and Churchill, all of which were at one stage up for sale when the bank was struggling to avoid a government bailout. Almost 600 jobs will also go from the head offices of its retail banking operation in London and Edinburgh to make up the final figure.
The troubled bank has been trying to slash costs since the government bailout which saved it from collapse in 2008 and left it 84 per cent-owned by the UK taxpayer. Almost 23,000 jobs have gone from its businesses worldwide since the bailout. Compulsory redundancies will be kept to an “absolute minimum” promised the bank, although some will be inevitable.