Barclays cuts 5,000 jobs as AI grows
The British bank reported a pre-tax profit of 2.3 billion pounds for the July–September period
The efficiency gains from artificial intelligence are beginning to show up in the profit and loss account and to threaten jobs. Barclays has announced 5,000 job cuts linked to the growth in AI-driven profitability. The British banking group closed the third quarter with a 12 per cent increase in profit, thanks to rising revenues and stable costs, which have enabled the bank to announce a new share buyback programme worth £500 million (US$669.85 million).
Profit before tax
The British bank reported a pre-tax profit of £2.3 billion for the July–September period, up from £2.1 billion the previous year and in line with analysts’ average forecast of £2.4 billion.
Barclays’ solid results mark the start of the earnings season for Europe’s leading banks, whilst the results of British banks are likely to be overshadowed by Finance Minister John Healey’s first Budget, due on 28 October, which could introduce further taxes on banks.
