Bloody day in the City as 1,300 jobs are axed

My Account
Logout

Create an Evening Standard Account

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Welcome! Sign in here

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Forgot your password ?

Registration

* indicates fields that are mandatory

Email *

Password *

Confirm Password *

First name *

Surname *

Postcode *

Country *

Mobile phone number

Username *

Gender *

Year of birth *

When you sign up...

You will have access to all our online competitions, discounted offers and can post comments on our site.

You will also receive The Weekender newsletter sent every Thursday - it’s full of fantastic offers and ideas for the weekend. You can update your email preferences in your account page when you log in.

Other newsletters and emails

Homes & Property Newsletter - Yes I want to receive the weekly email with all the latest news on property in the capital

Occasionally we would also like to send you relevant emails detailing specific offers either from ourselves or carefully selected partners. If you would prefer not to receive these then please tick the appropriate boxes below. We will never pass on your details.

I do not want to receive additional offers and information from the Evening Standard

I do not want to receive additional offers and information sent by Evening Standard on behalf of carefully selected partners

Terms and Conditions

* I have read, understood and agree to be bound by the terms and conditions of Evening Standard

Registration

Mail Sent for Registration Confirmation.

A confirmation email has been sent. Please activate your account by clicking on the activation link sent in your mail box.

The cuts are the first confirmation of the scale of the job losses facing the City, estimated this week at 40,000 by JP Morgan – more than one in 10 of all workers.

It will fuel mounting fears of a recession, led by a City downturn. Commentator David Buik of BGC Partners said:

Scroll down for more...

Struggling: Investment bank UBS will cut 900 jobs from its London headquarters

"The job cuts were inevitable and more banks will follow suit, starting with Citigroup tomorrow.

"Merrill's figures were worse than expected. People are now immune to the numbers because they know there is worse to come."

In another dramatic move, one lender, Rooftop Mortgages, closed down today admitting that the business had become "unsustainable."

Rooftop, which specialised in sub-prime mortgages and some buy-to-let deals, withdrew its entire product range from 5pm.

Ginny Darrow, chief executive, said: "Market conditions have continued to deteriorate and with no signs of recovery in the securitisation and whole loan trading markets, which underpin our strategy, Rooftop's origination business has become unsustainable."

Scroll down for more...

JP Morgan's London office: The firm predicted 40,000 job losses across the city as the credit crunch takes hold

Chancellor Alistair Darling was today finalising details of a package aimed at averting the threat of a downturn by unblocking the money markets.

The key plank of the plan is an attempt to tackle the freeze in interbank lending by accepting mortgage-backed securities in exchange for government-backed bonds.

The move, if successful, would allow banks to borrow money from each other more easily, opening the way for the deals, on which the City depends, getting back on track