Jump to content
House Price Crash Forum
Sign in to follow this  
gruffydd

Axe To Fall On At Least 10,000 Banking Jobs In City

Recommended Posts

"Doug McWilliams, head of CEBR, said that banks, insurers, hedge funds, financial recruitment firms and venture capitalists were shedding staff 'at a faster rate than we expected at the end of last year, and will continue to do so'. But he says job cuts will still come in below the 40,000 axed in the recession of 1991-02 and the 20,000 shed during the dotcom and technology crash of 2000-02."

So that will be 80,000+ financial jobs to go in the next 18 months. :blink:

Share this post


Link to post
Share on other sites

Its ok because they will have their BTL portfolios to see them through. I don't expect them to offload properties to release the cash as they seem to be in it for the long term.

Share this post


Link to post
Share on other sites
"Doug McWilliams, head of CEBR, said that banks, insurers, hedge funds, financial recruitment firms and venture capitalists were shedding staff 'at a faster rate than we expected at the end of last year, and will continue to do so'. But he says job cuts will still come in below the 40,000 axed in the recession of 1991-02 and the 20,000 shed during the dotcom and technology crash of 2000-02."

So that will be 80,000+ financial jobs to go in the next 18 months. :blink:

YEEHAARRRRRRRR

Hope they can handle queueing up for the dole. No champagne and caviar at McD`s! ;)

Share this post


Link to post
Share on other sites

"Now, the head of the Financial Ombudsman Service says he will not hesitate to give 'significant awards' to customers who he believes have been missold mortgages that many of them are now struggling to repay. 'We see cases where I find it difficult to imagine how the lender could have considered the customer capable of maintaining payments,' said Tony Boorman, principal ombudsman. 'It seems that the advice has been more about generating commission or fee income than a fair assessment of the interests of the customer.

The Financial Services Authority estimates that nearly a third of all mortgages sold in the last two-and-a-half years put the borrower into a high-risk category"

Of course any hint that borrowers may have been economical with the truth, when applying for a mortgage, could be problematical.

Share this post


Link to post
Share on other sites
"Now, the head of the Financial Ombudsman Service says he will not hesitate to give 'significant awards' to customers who he believes have been missold mortgages that many of them are now struggling to repay. 'We see cases where I find it difficult to imagine how the lender could have considered the customer capable of maintaining payments,' said Tony Boorman, principal ombudsman. 'It seems that the advice has been more about generating commission or fee income than a fair assessment of the interests of the customer.

The Financial Services Authority estimates that nearly a third of all mortgages sold in the last two-and-a-half years put the borrower into a high-risk category"

Of course any hint that borrowers may have been economical with the truth, when applying for a mortgage, could be problematical.

LIAR LOANS

LET THEM BURN

Edited by DoctorJ

Share this post


Link to post
Share on other sites
The Financial Services Authority estimates that nearly a third of all mortgages sold in the last two-and-a-half years put the borrower into a high-risk category"

Errm horses and stable doors spring to mind. Also what a turn around from "no sub prime in the UK" we were hearing only a few months ago?

But I'm all for the banks getting sued for misselling even if the customers were being slightly over optimistic about their earnings.

Share this post


Link to post
Share on other sites
Errm horses and stable doors spring to mind. Also what a turn around from "no sub prime in the UK" we were hearing only a few months ago?

But I'm all for the banks getting sued for misselling even if the customers were being slightly over optimistic about their earnings.

We only need a small percentage of these to default and the market is toast. oh hang on.......can I smell burning :lol:

Share this post


Link to post
Share on other sites

For every city job that dissapears there must be another 5 service jobs dissapearing with it. London's going to be very quiet next year.

Spoken bravely:

But he says job cuts will still come in below the 40,000 axed in the recession of 1991-02 and the 20,000 shed during the dotcom and technology crash of 2000-02.

but earlier it says:

would top 6,500 by October, but now expects to revise that number sharply upwards when it publishes new data early next month
Edited by dog

Share this post


Link to post
Share on other sites
Banks are to swing the axe in the City with 10,000 jobs expected to disappear this year amid signs of growing financial turmoil and fears that the US is already in recession.

Yeah these banks are going to swing the axe in true Henry VIII style , 10,000 is just the start , let them heads roll , then maybe some of these 10,000 jobless can get a proper more productive job like digging holes in the ground or flipping burgers .

Share this post


Link to post
Share on other sites

how many "City" jobs are there? I wouldn't be surprised if 50% get sacked. There's no way that the most serious financial crisis since the Great Depression will result in less job losses than in 1991-1992. It just doesn't make sense. The world is never going back to the way it was before this crisis.

Edited by JimmyMac

Share this post


Link to post
Share on other sites
Guest KingCharles1st
We only need a small percentage of these to default and the market is toast. oh hang on.......can I smell burning :lol:

funny thing is, I have just flipped through my local (mid herts weekly, and there are page upon page of 6-7-8-900k houses for sale..

oooh errr missus

what is the leverage called on the way back down. it must be like the bit where the roller coaster has just gone over the top, and is slowly starting to pick up speed, and suddenly, from a beautiful calm view, all the occupants can now see is the ground coming up rapidly to meet them :P

Share this post


Link to post
Share on other sites
What a shame!

20,000 jobs averaging about £60,000 each is £1.2bn out of the economy or £480,000,000 less for the taxman. I hope you are prepared to dig a little deeper for Darling next year!

Share this post


Link to post
Share on other sites
20,000 jobs averaging about £60,000 each is £1.2bn out of the economy or £480,000,000 less for the taxman. I hope you are prepared to dig a little deeper for Darling next year!

Strange that argument didn't hold sway when Rover and other large scale manufacturing were closed down, boosting employment and GDP in other countries.

Share this post


Link to post
Share on other sites
20,000 jobs averaging about £60,000 each is £1.2bn out of the economy or £480,000,000 less for the taxman. I hope you are prepared to dig a little deeper for Darling next year!

20,000 sh*tting bricks people selling at least one of their properties at an average of £300K.... hang on... that's £6 billion!!! I'm sure that Papa Darling will manage to grab a good portion of it!

:lol:

Share this post


Link to post
Share on other sites
funny thing is, I have just flipped through my local (mid herts weekly, and there are page upon page of 6-7-8-900k houses for sale..

I can see the same, who do you think at this stage in the game will want to buy something that is clearly unworthy of the price being asked, when the only way it can go is down...better waiting, and watching...after all what can you lose?

Nothing... ;)

Share this post


Link to post
Share on other sites
how many "City" jobs are there? I wouldn't be surprised if 50% get sacked.

There is around 350,000 people working in the City & Canary Wharf plus around 50,000 working in the West End/Mayfair (many hedge funds based around there).

In the City, many work in the London market & Insurance sectors as well as Banking so perhaps it won't be hit as badly as you suggest? Canary Wharf however is another matter, its largely US Banks & US Investment Banks (Bear Stearns & Citi for example) or HSBC - i'd expect more blood on the carpet there :P

Edited by skomer

Share this post


Link to post
Share on other sites
funny thing is, I have just flipped through my local (mid herts weekly, and there are page upon page of 6-7-8-900k houses for sale.

Just done a quick search for Herts I have found 776 right move entries between £700k and £1m

Over £1m in Herts there are 508 such properties.

Some serious liquidation going on!!!!!!!!!!!!!!!

It is also the same here in Surrey, with the mega volume is between £1m and £1.5m where there are 1563 properties and

between £700k and £1m there are 1920 listings.

What seems to be going on is a whole sale liquidation of high end properties. I am guessing this is city types, the over leveraged and babyboomers looking to downsize and cash in whilst prices remain higher.

Unfortunately for these people who are all running the the exits, the doors aint wide enough.

Edited by mikelivingstone

Share this post


Link to post
Share on other sites
There is around 350,000 people working in the City & Canary Wharf plus around 50,000 working in the West End/Mayfair (many hedge funds based around there).

In the City, many work in the London market & Insurance sectors as well as Banking so perhaps it won't be hit as badly as you suggest? Canary Wharf however is another matter, its largely US Banks & US Investment Banks (Bear Stearns & Citi for example) or HSBC - i'd expect more blood on the carpet there :P

do not underestimate the negative effects of this on the economy there are a huge number of people this will effect its not just the people who are directly lost and the associated tax take which wil mean many nurses, police and teachers will need to be cut. but also the real effects will be the reduced confidence of ALL remaining people in the banking and finance industries once these people have no confidence the party stops. the shops go quiet the pubs are quieter and the streets feel emptier. these people will not be taking out more loans. they will be just trying to keep the job to pay the mortgage...

the vast quantities of Champagne we consume will decline as will the LVMH share price....

Share this post


Link to post
Share on other sites
20,000 sh*tting bricks people selling at least one of their properties at an average of £300K.... hang on... that's £6 billion!!! I'm sure that Papa Darling will manage to grab a good portion of it!

:lol:

Unfortunately when 20,000 jobs go, it will probably mean about 2000 high earners (£100,000+) and about 18,000 earning £20-40k, most of whom cannot afford to get on the property ladder or who are trying to bring up families on average wages. Toast their job losses if you wish, but it will be cava sales that suffer, not champagne!

Share this post


Link to post
Share on other sites
Unfortunately when 20,000 jobs go, it will probably mean about 2000 high earners (£100,000+) and about 18,000 earning £20-40k, most of whom cannot afford to get on the property ladder or who are trying to bring up families on average wages. Toast their job losses if you wish, but it will be cava sales that suffer, not champagne!

Me thinks different!!

http://www.telegraph.co.uk/news/main.jhtml...7/nsalary27.xml

Your figures just don't add up.. Sorry

Share this post


Link to post
Share on other sites
Guest tenant super

Isnt it appropriate that the new terminal in heathrow was finished in the nick of time to facilitate a mass exodus!

Does anyone else here anticipate an enormous net emigration in the next 5 years? I suspect we will be millions of people lighter come 2013 compared with now.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 295 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.