RBS to cut 618 U.K. jobs ahead of new regulation

LONDON
Royal Bank of Scotland Group PLC said Tuesday that it would cut a further 618 jobs across the U.K. to offset the effects of new financial regulation being implemented later this year
In December new rules will be put in place forcing banks to charge customers for financial advice This is expected to dramatically reduce customer demand, as a result RBS is cutting the number of financial advisors it employs, a spokeswoman for the group said
The bank has separately said it plans to create 351 new roles
The Retail Distribution Review legislation "will have a fundamental effect on how financial institutions deliver advice to customers across the whole industry, and for the workforce involved," RBS said in a statement
The bank, which is 82% taxpayer owned, is still ploughing through a long term plan to shrink its size and become profitable
The announcement brings the number of jobs cuts at RBS since 2008 to 36,000
RBS isn't the first bank to fire workers ahead of the Retail Distribution Review's implementation
Earlier this year HSBC Holdings PLC (HBC) said it was cutting 2,000 jobs in the U.K. in part because of the new regulation