According to media reports, HSBC plans to significantly reduce staff in its UK wealth management business in order to drive the use of artificial intelligence (AI) to serve high-net-worth clients more effectively.

About half of the management and professional roles in the business are expected to be cut, while layoffs among financial adviser positions could approach 70%. The bank has entered a consultation process with employees over the restructuring plan. Affected employees are expected to leave by the end of October.

People familiar with the matter said the job cuts cover all departments of HSBC's UK wealth management business, with roughly half of management and professional positions potentially eliminated and financial advisers facing reductions of nearly 70%. One source described the cuts as "deep and broad," adding that almost the entire team is being removed.

HSBC does not separately disclose the number of employees in its UK wealth business, but the report said it has hundreds of client relationship managers across the UK.

HSBC said: "HSBC UK is a long-established leading UK wealth management institution and premier banking provider, and the group is continuing to transform to deliver more digital products and services, support industry-leading wealth management services, and meet clients' evolving needs."

It is understood that since taking office in September 2024, HSBC Chief Executive Georges Elhedery has made artificial intelligence a core part of the strategy to simplify the bank's structure. He has also pledged to reduce headcount, streamline management layers, and eliminate overlapping senior roles.

The report said the job cuts mark a reversal of HSBC's strategy from two years ago, when it hired aggressively to expand its UK wealth management and private banking business and set a target of doubling assets under management to GBP100 billion by the end of 2030. At the end of last year, its assets under management were slightly above GBP62 billion.