HSBC plans deep job cuts in UK wealth management amid AI push, FT reports

HSBC Holdings is set to undergo major job cuts in its UK wealth management division, aiming to leverage artificial intelligence to better serve affluent clients, according to the Financial Times. The FT states that around half of the management and specialist positions could be eliminated, while the number of financial advisers may decrease by approximately 70%.

Sources describe the proposed reductions as "deep, wide and brutal". The bank is currently in a consultation period for the changes, with affected employees expected to depart by the end of October. HSBC maintains its commitment to evolving its UK wealth business through the introduction of digitally-enabled products and services to cater to evolving customer demands.

This move comes amid CEO Georges Elhedery's centralisation of AI as a cornerstone of the bank's strategy to streamline its operations. The reductions represent a shift away from a hiring expansion launched two years ago to bolster the bank's UK wealth and private banking operations.