HSBC has announced it is to cut 1,100 jobs, 500 of which are to go in London.
The banking giant, which has its London office in Canary Wharf, said it was having to cut staff due to the global economic situation – putting an end to rumours it was to expand.
Worldwide, HSBC employs 335,000 people, mainly in the UK, US and Asia and reports suggest that these may only be the first in a number of redundancies.
Speaking to Forbes.com, a member of HSBC staff who requested not to be named said: “Supporting departments such as research teams may be another cost-cutting target; who still needs research reports in such market conditions?”
It is not the only office in Canary Wharf to have suffered such a setback in recent weeks.
Earlier this month, investment banking giant Lehman Brothers told its London staff to not return to work after it was made bankrupt.