Bank to axe 35,000 staff

THE CITY and Canary Wharf were hit by a fresh wave of job cuts today after Bank of America announced plans to axe 35,000 staff.

The company is cutting 11 per cent of its global workforce of 308,000 over the next three years following its emergency takeover of Merrill Lynch.

It could mean the end for around 1,000 bankers in London.

Merrill employs 6,000 staff in the Square Mile while Bank of America has 2,000 people at its European headquarters in Docklands. The bank blamed "the weak economic environment", which has seen business dry up. It has lost billions of dollars in the credit crunch.

Financial firms have announced more than 250,000 jobs cuts around the world this year.

Some estimates suggest 100,000 or more banking jobs could go in London before the crisis is over.

Citigroup recently announced 52,000 job cuts around the world including up to 1,000 in Canary Wharf. Other cuts in London have included 600 at Goldman Sachs and 580 at Credit Suisse.