THE TELEGRAPH: Peter Taylor investigates a new report that predicts the credit crisis will see 6,500 financial jobs axed and the total bonus pool cut by 15pc
The City should brace itself for more than 6,000 job cuts and a significant fall in bonuses as the credit crisis weighs down on the financial services industry, according to a leading research group.
City firms will cull 2,000 professional positions by Christmas with employment to fall by 6,500 into 2008, the Centre for Economics and Business Research says in a report released today.
CEBR economist Sarah Bloomfield said one job would be cut for about every two that had been added so far this year.
But the redundancies will have only a small impact on what is otherwise a sector in robust health, with a record 349,100 jobs registered in the City this month.
"It will feel worse than it actually is because the City has become used to adding jobs at breakneck speed," Ms Bloomfield said. Thousands of City workers face redundancy (more)
Mark Alexander
