Rabobank has announced plans to cut 5,000 jobs over the next five years, as part of a drive to increase digitalisation and cut costs.

The cooperative bank currently has a worldwide workforce of some 40,000 people and made net profit of over €1bn last year, but this was down around 50% on 2019, due in part to coronavirus.

‘The low interest rate environment, tightened legislation and digitization also affect the banking landscape deeply,’ chairman Wiebe Draijer said in a statement. ‘In the context of this difficult environment, we will maintain focus on further improving our operational and financial performance.’

Like other big banks, Rabobank has been shedding staff for years. In 2015, the bank had a workforce of 53,000. It has also been slashing the number of physical branches – a year ago it had more than 300 but that is being reduced to 100 to 150.

On Wednesday, ABN Amro said it had posted a full year loss of €45m.