Proactive Investors - Online trading platform IG Group Holdings Plc (LON:IGG) has announced a workforce restructuring that will see 10% of the workforce, or 300 team members, lose their jobs by the end of the year.
Alongside other cost-cutting measures, FTSE 250-listed IG Group hopes to make structural savings of £10 million in 2024 and £40 million in 2025.
The announcement comes amid softer market conditions which have impacted revenues in British brokerage firms and trading platforms.
In IG Group’s first-quarter trading update in September, revenues in its core OTC derivatives product fell by 8% year on year, though this was offset by a surge in the niche exchange-traded derivatives and stock-trading channels.
Charlie Rozes, acting chief executive, commented: "We want to position IG Group as a lean fintech company and today's decisive actions ensure a strong platform for future growth.
“We will continuously evaluate and pursue cost-efficiency opportunities to create a more agile and scalable organisation. Full support will be provided to our people throughout this process, and while these decisions are not easy to take, they will ensure the business is well positioned for continued long-term success."
IG Group is expected to release its first-half results for financial year 2024 on 25 January.