Commenting on the latest jobs cuts announced by Barclays today, Mark Littlewood, Director General at the Institute of Economic Affairs, said:
“The loss of many thousands of jobs at Barclays is sad and depressing news. The authorities are in danger of trying to ensure all banking is safe. Instead, we need to ensure that banks can fail safely and that collapsed banks can be wound up without requiring any support from the taxpayer.
"Contrary to popular belief, financial services are one of the most highly regulated sectors of the economy. This continual trend towards high regulation and high compliance will simply push the investment industry to less heavily regulated countries.
"If we continue to regulate away professional discretion from those working in the City of London, we risk undermining the City and seeing our investment banking sector shrink.”