UK: Many Barclays workers lose British banking jobs as Artificial intelligence reign supreme - Blueprint

Barclays, one of Britain's biggest banks, has announced plans to cut about 5,000 jobs by the end of 2026. The bank wants to use more technology, including artificial intelligence (AI), to lower its costs and help it work faster and better.

The planned job cuts equal about five per cent of Barclays' workers around the world. The bank had about 93,000 employees at the end of 2025.

Barclays announced the plan on Thursday, October 22, when it shared its financial results for the third quarter of the year. The bank said it had already cut about 1,000 jobs and expected to remove another 4,000 before the end of December.

The announcement shows how new technology is changing jobs in banks around the world. More banks are using machines and AI systems to do tasks automatically, make work easier and help employees get more done.

However, Barclays says AI is not the only reason for the job cuts. The bank also pointed to money it has spent on technology over several years, changes to how the company is organised, simpler ways of working and other plans to reduce costs.

Support and daily operations jobs face major cuts

Many of the planned job cuts will affect employees who help the bank run its daily operations. Some technology jobs will also be affected.

Barclays' Chief Financial Officer, Anna Cross, told reporters that about 60 per cent of the job cuts would come from support teams. These include some jobs involving software development, which means creating and improving computer programs.

The bank's UK retail banking business, which provides banking services to everyday customers, is expected to lose the most jobs. Some jobs in its investment banking business will also be cut.

These changes are part of Barclays' wider plan to make the bank simpler to run. As technology helps people complete everyday tasks faster and more easily, the bank believes it will need fewer employees for some types of work.

Software development is one area that could change because of AI. AI tools are becoming better at helping workers write computer code, test programs, prepare instructions and complete other technical tasks.

However, this does not mean every job is being cut because AI can do it instead. Barclays is also changing how its business works and reviewing how much money it spends.

For employees who lose their jobs during these changes, knowing that AI is not the only reason may offer little comfort.

How artificial intelligence is changing banking

Banks around the world are spending money on AI, automated systems and better digital technology. They want to improve how they handle information, process payments and other transactions, help customers and complete office tasks.

These technologies can help banks study large amounts of information, spot unusual activity in transactions, complete repeated tasks automatically and make decisions more quickly.

When creating software, programmers can use AI tools to write code, find mistakes and finish some jobs faster. In customer service and office operations, automated systems can reduce the amount of work people must do by hand when handling requests and keeping records.

Banks face strong competition, so these improvements can help them spend less money while getting more work done.

Barclays has been spending money on technology for several years. It wants to update its systems, make its work simpler and improve the money it earns from its business.

Barclays' Chief Executive Officer, C.S. Venkatakrishnan, has said that the bank is now seeing improvements because of the money it has spent on technology over time. This suggests that AI is helping speed up changes that were already happening, rather than being the only reason for the latest job cuts.

Even so, the large number of planned job cuts shows how spending on technology can affect decisions about employees. This is especially true for jobs where technology now allows tasks to be completed with less work done by people.

Barclays makes £2.3 billion in profit before tax in three months

Barclays announced the job cuts as it reported a profit of about £2.3 billion before tax for the three months ending in September 2026. This was 12 per cent higher than the £2.1 billion it made during the same three months in 2025.

Although the bank made more profit overall, some parts of its business did better than others. Trading in fixed-income products was weaker, but stronger results from share trading helped make up for this.

Money earned from trading fixed-income products, currencies and commodities fell by 19 per cent compared with the same period a year earlier, reaching about £1 billion. This was partly because there was less activity in markets involving interest rates and credit.

On the other hand, money earned from trading company shares rose by 47 per cent to about £1 billion, thanks to better results in that part of the business.

Barclays' investment banking business brought in about £3.1 billion during the quarter. Across the whole bank, total income rose by three per cent to about £7.4 billion.

These results showed that Barclays was still making more profit before tax, even though some parts of its business were facing difficult market conditions.

The bank's plan to reduce costs is therefore part of a bigger effort to improve how it operates and reach its financial goals while market conditions change.

Barclays increases its efforts to save money

Barclays said it had reduced its ongoing business costs by about £201 million during the third quarter. It also planned to save another £300 million during the final three months of 2026.

These savings are part of a longer-term plan to lower the bank's costs while keeping money available to spend on technology and other areas that could help the business grow in the future.

The bank has been working to make its operations simpler, update its technology systems and help different parts of the business work more efficiently.

Cutting jobs in certain teams is one part of this plan. Barclays is also changing the way employees complete tasks and using more digital systems.

These changes could help employees get more work done and lower costs that the bank pays regularly. But whether they work well over time will depend on how Barclays carries them out. The bank will need to make sure its services remain good, its operations stay reliable and it continues to follow banking rules.

For customers, using more technology could mean faster services and more ways to bank online. However, the experience will depend on how well the systems work and whether customers can still get help from people when they have difficult or sensitive banking problems.

What the job cuts mean for workers

The planned job cuts are raising concerns about whether workers can keep their jobs as large companies increasingly look at how technology can change the work their employees do and how much work is needed.

Employees in office administration, daily banking operations, support teams and some technology jobs may feel less certain about their future. This is because banks are reviewing how many workers they need and bringing in more systems that can complete tasks automatically.

At the same time, new technology could create more demand for people who understand artificial intelligence, cybersecurity, data analysis, software engineering, digital banking and how to manage risks linked to technology.

This means the types of jobs available are changing. Some older jobs may become less common, while new jobs may appear and existing jobs may change.

However, workers who lose their jobs cannot always move straight into new technology positions. They may need more training, suitable qualifications and chances to apply for new jobs. This change can be difficult for people whose current experience does not match the skills needed for the new roles.

For banks more generally, Barclays' decision is another sign that AI is becoming an important part of how companies decide how many employees they need and how their businesses should be organised.

The announcement also raises questions about how banks can save money and work better while protecting jobs, helping employees learn new skills and keeping experienced workers.

Technology and jobs in banking

Barclays' plan is part of a bigger change happening across banking and other financial services. Companies want to get more work done, compete with other businesses, meet changing customer needs and make use of improvements in digital technology.

More companies are adding AI to their everyday work. However, they are not all moving at the same speed, and the effects are different depending on the company and the type of job.

Whether AI replaces workers, changes what employees do or creates new job opportunities will depend on the tasks involved, how well the technology is introduced and what skills workers already have.

For Barclays, the main goal right now is to complete the announced job cuts while continuing to work towards its business and financial goals.

With about 1,000 jobs already removed and another 4,000 expected to go before the end of 2026, these changes will continue to be important for Barclays employees and the wider banking industry.

The decision shows a major challenge facing businesses that use AI: how to get more work done and control costs while also dealing with the effects that new technology has on people's jobs.