HBOS slashes IT workforce

About 100 technology jobs at risk as the bank carries out restructuring

HBOS will cut about five per cent of its IT workforce

Financial services provider HBOS may slash at least 100 jobs off its workforce as a consequence of a restructuring of its mortgage business.

The shake-up of the UK’s largest mortgage lender includes the closing of a mortgage processing centre to remove duplication. The move will result in a total of 325 jobs being axed from the business by March 2009.

It is understood that the decision will affect IT staff based in Edinburgh, Chester and West Yorkshire.

"This is a further blow for jobs in the UK financial services sector which is being brought about by the credit crunch and the changing economic climate," said deputy general secretary of workers’ union Unite Graham Goddard.

Last week, Barclayssaid it would reduce the number of IT contractors and temps it employs as part of a cost control strategy. The bank will also offshore 1,800 technology jobs over the next two years and has confirmed that 700 will be transferred by this September.