Barclays is to slash 5,000 jobs because AI is becoming more efficient than human workers.
The British bank - which has been developing in-house uses of the technology - said it would cut 5% of its global workforce by the end of this year.
Most of the lost roles will come from back office and operational teams, including tech development.
Chief Executive CS Venkatakrishnan claimed the redundancies were the due to "investments into technology over a number of years".
He said: "That is driving the bulk of the efficiency gains.
“AI has an important role to play and may have a more important role to play in the future.
“I’ve often said that it is the icing on the cake – it’s not the cake – because you need to do the infrastructure build to get the benefits of AI.
“Where the infrastructure is modern, we’ve been applying it.”
The British bank - which has been developing in-house uses of the technology - said it would cut 5% of its global workforce by the end of this year.
Most of the lost roles will come from back office and operational teams, including tech development.
Chief Executive CS Venkatakrishnan claimed the redundancies were the due to "investments into technology over a number of years".
He said: "That is driving the bulk of the efficiency gains.
“AI has an important role to play and may have a more important role to play in the future.
“I’ve often said that it is the icing on the cake – it’s not the cake – because you need to do the infrastructure build to get the benefits of AI.
“Where the infrastructure is modern, we’ve been applying it.”
Danny Kruger, Reform's Head of Preparing for Government, has been warning for months that AI will have a dramatic effect on the jobs market.
He said: "Labour and the Conservatives have had their heads in the sand, rarely talking about the upheaval that is coming.
"Reform UK is taking the challenge and opportunity of AI seriously.
"We should expect more stories like this - as AI capabilities increase there will be serious disruption especially in clerical and administrative roles. At the same time, the AI industry will lead to more jobs across its supply chain, in sectors like construction and manufacturing.
"It will also lead to more innovation and growth, which will lead to more jobs, often in new sectors and in ways we can’t anticipate.
"Britain must ready itself for these changes and support workers who shift into new sectors."
Reform UK is the only political party with a sovereign AI policy and Mr Kruger said Britain will be left behind if action isn't taken fast.
He said: "Labour and the Conservatives have had their heads in the sand, rarely talking about the upheaval that is coming.
"Reform UK is taking the challenge and opportunity of AI seriously.
"We should expect more stories like this - as AI capabilities increase there will be serious disruption especially in clerical and administrative roles. At the same time, the AI industry will lead to more jobs across its supply chain, in sectors like construction and manufacturing.
"It will also lead to more innovation and growth, which will lead to more jobs, often in new sectors and in ways we can’t anticipate.
"Britain must ready itself for these changes and support workers who shift into new sectors."
Reform UK is the only political party with a sovereign AI policy and Mr Kruger said Britain will be left behind if action isn't taken fast.
We have to support the patriotic entrepreneurs and engineers who want to build AI firms in Britain
The MP for East Wiltshire added: "If we don’t build AI here, we will be at the mercy of other countries around the world who will.
"Building this technology ourselves means we will retain the economic and strategic benefits for ourselves. That means supporting the patriotic entrepreneurs and engineers who want to build AI firms in Britain.
"Reform UK will end the madness of Net Zero, which has given us some of the highest industrial energy prices in the world and hold back technology businesses.
"Data centres should only be built in the right places with local consent, and their benefits shared with the community, but they will play a key role in the AI economy and Britain must not be left behind."
"Building this technology ourselves means we will retain the economic and strategic benefits for ourselves. That means supporting the patriotic entrepreneurs and engineers who want to build AI firms in Britain.
"Reform UK will end the madness of Net Zero, which has given us some of the highest industrial energy prices in the world and hold back technology businesses.
"Data centres should only be built in the right places with local consent, and their benefits shared with the community, but they will play a key role in the AI economy and Britain must not be left behind."
Barclays is coming towards the end of a three-year strategy to boost performance, which has involved major cost-cutting and ramping up technology capabilities.
In the third quarter, the company made some £200 million worth of “structural cost actions”, part of about £600 million made during the year, double what it had been expecting.
The bulk of the cost cutting came from the UK retail bank, but a proportion was also in its investment bank. Barclays said it has a further roughly £300 million worth of savings planned for the final three months of the year.
The company today reported a pre-tax profit of £2.3 billion for the three months to the end of September.
Income from both its UK retail and corporate banks increased, as well as from its wealth management and investment arms.
The financial results come less than a week before Chancellor John Healey delivers his autumn Budget statement, with speculation that he is considering increasing taxes on banks to raise revenues for the Treasury, despite the tax burden on employers already being the highest in history.
Mr Kruger added: "At a time when workers are increasingly having to compete with AI, the Labour government has taken the appalling decision to make it more expensive to hire someone.
"Reform UK will reverse the hike in Employer National Insurance Contributions for British workers, and make it easier for firms to hire domestic talent."
In the third quarter, the company made some £200 million worth of “structural cost actions”, part of about £600 million made during the year, double what it had been expecting.
The bulk of the cost cutting came from the UK retail bank, but a proportion was also in its investment bank. Barclays said it has a further roughly £300 million worth of savings planned for the final three months of the year.
The company today reported a pre-tax profit of £2.3 billion for the three months to the end of September.
Income from both its UK retail and corporate banks increased, as well as from its wealth management and investment arms.
The financial results come less than a week before Chancellor John Healey delivers his autumn Budget statement, with speculation that he is considering increasing taxes on banks to raise revenues for the Treasury, despite the tax burden on employers already being the highest in history.
Mr Kruger added: "At a time when workers are increasingly having to compete with AI, the Labour government has taken the appalling decision to make it more expensive to hire someone.
"Reform UK will reverse the hike in Employer National Insurance Contributions for British workers, and make it easier for firms to hire domestic talent."
