Business
Barclays to Cut 5,000 Jobs as AI Drives Efficiency Push
Barclays plans to cut around 5,000 jobs, equivalent to roughly 5 per cent of its global workforce, by the end of 2026 as the British bank expands its use of artificial intelligence and other technologies to streamline operations and reduce costs.
The announcement came on Thursday alongside the bank’s third-quarter earnings update, which showed a 13 per cent increase in net profit, supported by strong growth in equities trading income. Barclays shares edged lower in London following the announcement.
The bank said in an earnings presentation that it was pursuing “organisational simplification and technology change efficiency driven by AI”. Around 1,000 of the planned job cuts had already taken place during the first half of the year.
About 60 per cent of the reductions will affect support functions, including software developers, as automation and AI tools enable employees to complete more work, according to Barclays.
Will Howlett, a financial analyst at Quilter Cheviot, said the decision demonstrated how AI and automation could reshape the banking industry in the coming years.
Banks have invested heavily in technology for years, he said, but those investments were increasingly allowing them to operate with fewer employees. Barclays expects its efficiency measures to generate more than £1.1 billion (€1.31 billion) in savings, helping to reduce expenses and improve profitability.
The bank reported profit attributable to shareholders of £1.65 billion (€1.97 billion) for the July to September quarter, up from £1.46 billion (€1.74 billion) a year earlier.
Total group income increased 3 per cent to £7.37 billion (€8.79 billion), while income from equities trading surged 47 per cent year on year.
Chief executive C. S. Venkatakrishnan said the bank had maintained operational and financial momentum, highlighting strong performance in equities at its investment bank.
However, Howlett noted that the investment bank had faced weaker results in some areas, particularly fixed-income trading. He said Barclays remained on track to meet its longer-term targets but would need to demonstrate that technology investment and a smaller workforce could deliver lasting cost reductions without limiting growth.
Barclays also announced a £500 million (€596 million) share buyback. AJ Bell investment director Russ Mould said the repurchase programme had not fully offset investor disappointment over the quarterly results.
Mould also highlighted two concerns facing the bank: an expected increase in taxes on the banking sector in the UK’s upcoming budget and a reported investigation into the treatment of risks associated with its private credit portfolio.
According to the Financial Times, the Bank of England was examining claims that Barclays had understated risks linked to financing for private credit funds. The issue centres on whether the exposures were presented as less risky in the bank’s accounts, potentially reducing the capital it needed to hold against losses.
Barclays has said its private credit exposure is treated in accordance with accounting rules and regulatory capital requirements.
The planned workforce reductions reflect the growing role of technology in banking, as lenders seek to improve efficiency while navigating regulatory scrutiny, rising costs and changing market conditions.
Business
MOL Targets End to Russian Oil Imports by 2027, Seeks EU Funding for Energy Shift
Hungarian oil and gas company MOL says it expects to be technically ready to phase out Russian crude imports by the end of 2027, while urging the European Union to provide funding for alternative supply routes.
MOL Hungary chief executive György Bacsa told Euronews that the transition would require significant investment in energy infrastructure. He warned that reducing dependence on Russian oil could increase energy costs and place additional pressure on households and businesses in Hungary and Slovakia, both of which remain heavily reliant on Russian crude.
Bacsa said higher costs could lead to social unrest and political instability, making financial support from Brussels important to ensure the transition does not create further economic difficulties.
The company is preparing to seek EU funding for energy diversification for the first time, following a change of government in Budapest. The move marks a shift from the approach taken under former prime minister Viktor Orbán, whose government maintained close energy ties with Russia and opted out of some EU initiatives aimed at reducing reliance on Russian supplies.
MOL’s plans depend partly on expanding access to non-Russian crude through alternative pipeline routes. The company is calling for EU support to develop the infrastructure needed to transport oil from other suppliers and strengthen the region’s energy security.
The European Union has maintained its focus on ending imports of Russian energy following Moscow’s invasion of Ukraine. However, the transition has been more complicated for landlocked countries in central Europe, where existing infrastructure and limited access to alternative routes have contributed to continued dependence on Russian supplies.
A 2025 study by the International Monetary Fund estimated that a complete interruption of Russian energy supplies could increase Hungary’s energy spending by around 15% by 2030. Such an increase could put additional pressure on the country’s economy and make the shift to alternative sources more difficult.
For MOL, being technically prepared to stop buying Russian oil by the end of 2027 does not remove the financial and logistical challenges involved. The company says investment in pipelines and other supply infrastructure will be necessary to secure reliable alternatives.
Bacsa’s warning highlights the challenge facing EU policymakers as they seek to reduce Russian energy imports while limiting the economic and political consequences for member states that remain dependent on them.
Business
Global Markets Slide as Nvidia Leadership Shake-Up and Iran Tensions Weigh on Investors
Global stock markets mostly fell on Friday as investors assessed the potential impact of Jensen Huang’s departure from Nvidia on the artificial intelligence industry, while rising oil prices added to concerns over the prolonged conflict involving Iran.
European shares opened lower, with London’s FTSE 100 down 0.2% and benchmark indices in Paris and Frankfurt each losing 0.3%. US stock futures also edged down, including contracts linked to the technology-heavy Nasdaq 100.
The selling followed losses on Wall Street on Thursday. Nvidia shares fell 4.3%, while the S&P 500, Nasdaq Composite and Dow Jones Industrial Average each declined by around 0.4%. The Dow closed at 52,297.09. Some rival chipmakers moved higher, with Advanced Micro Devices gaining 5.9%.
Nvidia announced that Huang had stepped down immediately as president, chief executive and board member. The company’s long-serving chief financial officer, Colette Kress, took over as interim chief executive.
Huang co-founded Nvidia and became one of the most influential figures in the development of AI technology. His departure has raised questions about the company’s future direction and the wider industry, particularly given Nvidia’s central role in supplying chips and financing AI infrastructure.
The announcement followed reports alleging two affairs, including one involving a woman suspected of spying for China. The reports have raised national security concerns, although the allegations have not been independently established.
Ben Barringer, head of technology research at Quilter Cheviot, said he did not expect an immediate effect on Nvidia if its order book remained strong and it continued meeting performance targets.
However, he warned that Huang’s absence could weaken Nvidia’s influence over longer-term debates about AI regulation and investment, potentially affecting the wider technology sector.
Asian markets were mixed. Japan’s Nikkei 225 gained 0.5% to close at 61,142.35, while South Korea’s Kospi fell 1% to 5,290.53. Shanghai’s Composite declined 0.6% to 3,634.35, and Hong Kong’s Hang Seng was down more than 1.5% at 23,637.60.
Taiwan’s Taiex rose 1.35% to 43,675.12, supported by a 0.43% gain in TSMC. Australia’s S&P/ASX 200 fell 0.7% to 9,082.20. Chip stocks were mixed, with Tokyo Electron rising 1.7%, while Kioxia fell 2.2%. Samsung Electronics lost 1% and SK Hynix declined 3.2%.
Oil prices advanced after US President Donald Trump said Washington did not need an agreement with Iran, despite the continuing conflict in the Middle East.
At around 07:00 GMT, Brent crude rose 0.7% to $96.48 a barrel, while US West Texas Intermediate gained 0.2% to $88.91. Brent had traded near $72 before the war began in late February.
Gold futures for December delivery edged up to $3,899 an ounce. In currency markets, the euro strengthened to $1.1061, while sterling slipped to $1.3229. The dollar eased to 159.79 yen.
Business
Reports of Second Alleged Affair Add to Pressure on Nvidia CEO Jensen Huang
Nvidia chief executive Jensen Huang is facing renewed scrutiny following reports of a second alleged extramarital relationship, as the company’s board prepares to consider allegations involving the technology executive and a woman linked to a suspected Chinese intelligence operation.
The Wall Street Journal, citing people familiar with the matter, reported on Wednesday that Nvidia’s board was preparing to meet to discuss the situation. The report did not establish that the board had decided to remove Huang from his position.
The New York Times separately reported that video evidence showed the 63-year-old executive behaving affectionately with Kimberly Powell, Nvidia’s 48-year-old vice president of healthcare. The newspaper said bystanders had reportedly seen the pair being affectionate at a hotel during a conference in San Jose, California.
Powell has played a prominent role in Nvidia’s efforts to expand the use of its chip technology in higher education and healthcare. The reports have not established whether the alleged relationship has affected her position at the company.
The latest claims follow Huang’s admission that he had a relationship with Alice Huang, a senior executive at Singapore-based data centre company Megaspeed.
The Wall Street Journal reported that Jensen Huang and Alice Huang had been photographed together in Taipei in 2024 and 2025. US intelligence officials reportedly circulated a memo last spring alleging that Alice Huang was an operative for China’s Ministry of State Security. The allegation has not been independently established.
In a message to Nvidia employees on Sunday, the chief executive acknowledged the relationship, writing: “I was unfaithful to my wife.”
On the same day, Nvidia’s board announced that it had launched an independent investigation following reports that its founder and chief executive had been the target of a foreign intelligence effort.
“I support the investigation and will cooperate fully. I love our country and our company,” Huang said in his statement.
Members of Congress have also reportedly asked Huang to provide a closed-door briefing about his interactions with Alice Huang, according to The New York Times.
Political and business scrutiny
The controversy comes as Nvidia remains at the centre of the global artificial intelligence boom, which has driven its shares to record levels and made Huang one of the technology industry’s most influential executives.
He has appeared alongside US President Donald Trump at several White House events and received the National Medal of Science from the president last month.
Huang has also joined other prominent technology leaders, including Elon Musk, Jeff Bezos and Mark Zuckerberg, in supporting industry-led efforts to regulate artificial intelligence.
The debate over AI oversight has intensified as concerns grow about the technology’s potential risks. Trump has opposed calls for greater government intervention and dismissed warnings that artificial intelligence could pose an existential threat.
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