RBS to axe another 200 jobs after announcing £2bn loss

Royal Bank of Scotland is to axe over 200 more jobs after it unveiled a £2bn loss for 2015 at the end of last week; it is looking to cut staff in its commercial banking unit, which handles large loans. This move follows a report two weeks ago that the bank had warned 400 staff of possible redundancies as the bank looks to lower costs. 

Royal Bank of Scotland is wielding the axe over 200 more jobs as it unveils a £2billion loss for 2015.

The state-owned bank is cutting staff at its commercial banking unit, which handles large loans.

This follows The Mail on Sunday’s revelation two weeks ago that the bank had warned 400 staff of possible redundancies. The cuts are part of the bank’s drive to lower costs, but it claimed the change would provide a more efficient service.

Job cuts: Staff at RBS commercial banking unit handling large loans will be affected

The 200 jobs include 140 commercial managers, 45 area lending managers and 15 senior lending directors.

The commercial banking division handles 12,000 of RBS’s biggest business customers providing loans of more than £250,000. Many will now be handled by the business banking arm, which previously handled smaller borrowing.

An RBS spokesman said: ‘As part of our drive to simplify our business, we are moving a number of customers into our business banking division, where we believe they will receive a more efficient service. Unfortunately this will result in some job losses. We are working to support staff affected.’

RBS, which is 73 per cent owned by the Treasury, revealed on Friday huge payouts on compensation for missold payment protection insurance and £2.9 billion in restructuring costs, which led to the larger than expected total loss for 2015.