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RBS to cut 550 jobs as investment advice service is automated

Troubled, taxpayer-owned bank the Royal Bank of Scotland (RBS) is planning to shed 550 jobs as it looks to replace face-to-face investment advisors with automated robots.

The plans, which will see an initial 220 investment jobs go followed by another 200 protection advice roles, are part of a wider strategy to reduce the size of its investment advice team.

As part of the reshuffle, face-to-face investment advice will only be available to customers looking to invest more than £250k, while anyone looking to invest less than that will be able to use a new automated ‘robo-advisor’ which offers advice based on answers to a series of questions.

The move comes after the bank, which is 73% owned by taxpayers, posted its eighth successive annual loss last month as it dipped £2bn into the red.

An RBS spokesperson said: “We want to help as many customers as possible invest their money in the right way for them.”

“The demand for face-to-face investment advice is changing. Our customers increasingly want to bank with us using digital technology.

“As a result, we are scaling back our face-to-face advisers and significantly investing in an online investing platform that enables us to help a new group of customers with as little as £500 to invest.”

The new automated online investment platform is to be rolled out later this year to customers with at least £500 to invest.

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