The largest local financial institutions in the United Kingdom have started to cut costs.

The mentioned actions of lenders are related to the fact that the Bank of England lowered the cost of borrowing for the first time in four years. Moreover, the financial regulator of the United Kingdom has made unequivocal statements that in the foreseeable future the actions to ease monetary policy will continue.

The largest UK banks have started cutting costs to protect profits amid lowering borrowing costs. The media reports that these financial institutions have advised employees to forego business class and fly economy for trips of five hours or less, to seek forms of transportation other than taxis when going to meetings, and to arrange three meetings per day before booking a business trip.

The media reports that Standard Chartered is currently implementing more than 200 programs that will help it cut its annual expenses at $12 billion in 2026.

It is expected that against the backdrop of these efforts, some of the financial institutions’ staff will be laid off. At the same time, the media reported that some lenders will focus on property and infrastructure as part of their respective efforts.

In July, it was revealed that HSBC was slowing hiring and asking investment bankers to cut expenses as part of chief executive officer Noel Quinn’s efforts to reduce costs in anticipation of interest rate lowering.

Also last month, it was reported that Lloyds told staff to reduce their use of taxis and business class flights as part of the bank’s attempt to cut costs amid a $5 billion strategic overhaul.

As we have reported earlier, Santander Reports Q2 Earnings.