economy
March 17, 2026
Bank of England to Reduce Staff to Cut Costs
The Bank of England will reduce its staff by eight percent in the coming months to save costs in the next fiscal year.
TL;DR
- The Bank of England will reduce its staff by 8% (446 employees) through voluntary redundancies.
- 16 employees from senior pay grades will leave.
- Severance packages range up to £150,000, with an average of £81,000, totaling an estimated £36 million.
- The bank expects to save around £35 million in the next fiscal year, despite short-term cost increases.
- Salary expenses increased by 55% to over £450 million since Governor Andrew Bailey took charge in 2020.
- The cuts are partly a response to criticism over inflation forecasts and a push for cost rationalization.