LONDON, Feb 8 (IFR) - Deutsche Bank has begun making selective cuts to its banking and markets businesses in its UK-based investment bank, according to multiples sources, just a week after results showed staff numbers rose last year while revenue had fallen.
The sources said reductions were slightly deeper than the usual cuts made by investment banks at this time of year and are not focused on any particular business.
Deutsche’s 2017’s corporate and investment bank revenues fell to €14.23bn from €16.76bn in 2016, but compensation and benefits went in the opposite direction, rising to €4.26bn.
Its number of staff also rose, despite pledges by chief executive John Cryan to wield the axe. CIB had 41,349 staff at the end of December, or 1,700 more than a year earlier. Some 17,251 of them were costly front-office staff, up 122 during the year.
Earlier on Thursday IFR reported that Jonathan Gold, co-head of financial institutions origination for Europe Middle East and Africa (EMEA), has been put at risk of redundancy, according to two sources.
Gold was made co-head of the FIG business in November 2016 as part of a broader EMEA debt capital markets reorganisation and was also looking after UK and Irish financial institutions
Gerald Podobnik, Gold’s co-head, will become sole head. He will continue to head financial institutions for Germany, Austria and Switzerland, while retaining his roles as global head of capital solutions and sustainable financing.
Gold did not immediately respond to requests for comment via email and LinkedIn. (Reporting by Helene Durand; editing by Steve Slater, Sudip Roy)