According to a recent report many thousands of jobs in the finance industry could be lost as a result of the problems caused by the global credit crunch. It has been estimates by the CBI that at least ten thousand jobs within the financial services industry within the UK could go over the next three months.
Based on results from the quarterly survey carried out by the association most companies are expecting the effects of the credit crunch to get worse over the coming six months.
According to the report many finances jobs have already been cut, although it goes on to state that the country should manage to avoid recession.
One senior official from the authority described the whole situation as a very serious crisis. He added that since the credit crunch took a hold in the UK thing had continued to get worse in the financial sector, stating: “Some have suggested it’s the worst financial crisis since the Second World War. I think one of the key characteristics is that it will go on for quite some time to come.”
The global credit crunch has wreaked havoc in the financial markets since it spread across the UK late last summer.
With an increasing number of lenders taking on fewer and fewer mortgage, loan, and credit card applications, and with many having increased their lending criteria conditions in the market have become increasingly tight and difficult.
With lenders struggling to get finance to fund their lending, and therefore having to cut back on the amount of business that they take on, it comes as little surprise that such a large number of jobs across the industry are to go.
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