Barclays has decided to scale down its presence and reduce its workforce in Gibraltar by the end of 2014, in the wake of a review it launched in March this year.
Barclays said its current intention is to maintain a presence in Gibraltar, but probably in a reduced capacity.
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Efforts to find a buyer for the business over the past few months that would be willing to make the investment necessary to take the business forward had been unsuccessful, in spite of having engaged with more than 50 prospective interested parties, Barclays said.
The future shape of the business will be determined after a formal consultation with Unite, the union which represents its employees, and other relevant parties.
Over the coming months, the bank will determine what parts of its Gibraltar business to retain and will consult with Unite the Union about slimming its 100-strong workforce, most of whom are local residents.
Barclays did not indicate what form the restructuring would take and whether it would continue offering high-street retail banking services at the end of it.
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By GlobalDataThe bank’s local manager, Nigel Riley, will oversee the process for the next six months, after which Keith Bailey, a UK-based Barclay’s manager who for seven years oversaw parts of the bank’s business here, will take the helm.
The UK Members of Parliament and representatives from the Gibraltar Chamber of Commerce had been involved in last-minute talks with Barclay’s officials on the bank’s future in the UK territory.
The bank said: "Clients and customers will not see any change to the service we provide in the short term. Throughout this time of change we will continue to endeavour to balance the interests of all our employees, key stakeholders, clients, customers, shareholders and the jurisdiction."
