The Royal Bank of Scotland, one of the UK’s largest credit institutions, is planning to cut 550 jobs to replace people by robo-advisers. Such robots are able to consult clients who invest small sums from £500. The bank's advice team will provide services only to clients who invest over £250 thousand.
Automated systems will offer customers advice based on their answers to a series of questions. Representatives of the RBS said that their clients want to bank with them using digital technology. Another reason for the introduction of robo-advisers is weakening demand for face-to-face advice.
The 2008 crisis led the bank to a difficult financial situation. The UK’s government had to pump up several billions of pounds into the RBS to avoid its bankruptcy and prevent the country’s banking sector from melting down.
