Tech could slash half of bank jobs: ex-Barclays boss
Written by Hannah McGrath
Disruptive technology could lead to the loss of 50 per cent of banking jobs within the next decade, according to former Barclays chief executive Anthony Jenkins.
More than half of Britain’s 7,000 bank branches are at risk of closure, said the former bank boss, with rapid advances in automation leading to swingeing job losses.
Jenkins, who ran Barclays group from 2012 to 2015, said roles in customer services, middle and back offices are most at risk and highlighted that the rate of closures in the past 10 years had been faster than expected due to cost-cutting measures.
Research conducted by consumer group Which? in June revealed that almost 3,000 bank branches have closed since 2015 or are due to close this year.
Jenkins, who now runs 10x Banking, a technology advisory firm for banks, had warned three years ago that technological transformation would lead to a shake up of the baking industry.
Speaking yesterday to the BBC, he said: “I predicted that somewhere between 20 and 50 per cent of the jobs would go away in financial services and about the same number of branches would be closed.
“I think, actually, I under-estimated on the branch closure side. We’ve already seen something like 25 per cent of branches close between 2011 and 2015.”
Speaking of customer-facing and middle management roles, he added: “These things get automated and the jobs will go away. Of course, new jobs may be created, but my expectation is there will be many fewer than the ones that are eliminated.”