22.10.2026 14:33
UK-based Barclays, whose origins date back to 1690, announced that it will lay off 5,000 employees, equivalent to 5% of its workforce, by the end of the year. The bank stated that the layoffs will be carried out to reduce costs by utilizing technologies such as artificial intelligence. The bank's pre-tax profit in the third quarter rose by 12% to 2.3 billion pounds. Barclays will also carry out a 500 million pound share buyback.
Barclays, whose origins date back to 1690, also announced new layoffs on the day it announced its third-quarter financial results. The bank's decision to lay off thousands of people, citing artificial intelligence, during a period when it increased its profit drew attention.
PROFIT ROSE BY 12 PERCENT
Barclays' pre-tax profit in the July-September period rose by 12 percent compared with the same period last year to 2.3 billion pounds. The bank's profit in the same period last year was at the level of 2.1 billion pounds.
2.8 BILLION POUNDS TO SHAREHOLDERS
Barclays Chief Executive Officer (CEO) C.S. Venkatakrishnan said they will transfer more cash to investors with a 500 million pound share buyback. Thus, the total amount transferred to shareholders through share buybacks and dividends since January will rise to 2.8 billion pounds. Venkatakrishnan also stated that the bank's cost-income ratio fell from 63 percent to 62 percent in the last 3 months.
EMPLOYMENT WILL BE REDUCED WITH ARTIFICIAL INTELLIGENCE
Barclays Finance Director Anna Cross announced that they will reduce employment by using technologies such as artificial intelligence to reduce costs and increase overall profitability. According to the information provided by Cross, 1,000 people were laid off within this scope. By the end of the year, 4,000 more employees will be laid off. In this way, Barclays will have laid off 5,000 employees, corresponding to 5 percent of its workforce, by the end of the year.
SHARES FELL BY 20 PERCENT IN 3 MONTHS
After the financial results were announced, Barclays' shares rose by 0.63 percent. The bank's shares, however, lost about 20 percent in value in the last 3 months. The expectation that the British government will increase taxes on banks in the budget it will announce next week was also effective in this decline.