HSBC plans job cuts across UK wealth business in AI push

HSBC is set to implement significant job cuts within its UK wealth management division, as it seeks to integrate artificial intelligence into its operations. According to the Financial Times, the bank plans to reduce management and specialist roles by half, with financial advisers potentially facing a 70% reduction. The exact number of employees is undisclosed, but it is believed the UK branch houses hundreds of relationship managers.

While HSBC declined to comment on the matter, the bank reassured the Financial Times that it is committed to delivering digitally-enabled products to meet customer needs and optimize service quality. The changes are currently under consultation, with affected employees expected to depart by the end of the month. In a recent statement, HSBC's CEO Georges Elhedery emphasized the importance of embracing AI-driven transformations, stating that generative AI could eliminate certain jobs.

Elhedery has prioritized AI as a key component of his strategy since assuming leadership in 2024, applying the technology across various bank functions and businesses to streamline processes and personalize customer experiences. The trend of AI adoption is spreading globally, prompting workforce realignments and raising concerns about the potential impact of automation on traditional industries and job security.