Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Business

TalkTalk to axe hundreds of jobs as broadband provider targets £120m cost cuts

by December 16, 2024
December 16, 2024
TalkTalk to axe hundreds of jobs as broadband provider targets £120m cost cuts

TalkTalk is set to cut hundreds of jobs in a sweeping effort to slash costs by £120m, as the debt-burdened broadband provider embarks on a radical restructure to restore its financial health.

In an update to investors last week, the company confirmed a “radical” overhaul, with initial redundancies already under consultation. Around 130 positions are set to go at its Salford-based consumer division, while further reductions at its wholesale arm—known internally as Platform X—are expected to push total job losses into the hundreds.

The cuts are anticipated to fall heavily on central head office roles after TalkTalk admitted that multiple business units and management layers had weighed down operating expenses. The company reported a workforce of 1,857 in February, two-thirds of whom were in administrative roles.

The redundancies form part of a wider cost-cutting agenda targeting more than £120m in savings, around 60% of which TalkTalk intends to achieve within the next 12 months. Alongside job losses, the cost reduction plan is expected to encompass the sale of non-core businesses, office closures, and tighter controls over marketing, travel, and catering budgets.

In addition, TalkTalk plans to automate more tasks, ramp up its use of artificial intelligence, and consider outsourcing and offshoring options to streamline operations.

These measures come after TalkTalk narrowly avoided collapse this summer, as founder Sir Charles Dunstone and other key shareholders rallied to provide a vital cash injection, preventing a debt default. Despite the emergency support, TalkTalk remains heavily indebted, with a £1.2bn burden generating substantial servicing costs. Losses have soared to £72m for the six months to the end of August, while its customer base slipped from 3.6m in February to 3.4m by the end of August.

James Ratzer, an analyst at New Street Research, expressed doubts about the long-term sustainability of TalkTalk’s business model under current debt conditions. While he sees a path back to generating around £70m in operating free cash flow if cuts are realised, this would still be insufficient to cover existing interest obligations.

In a bid to raise funds, TalkTalk last year broke up its business and has since sought buyers for either the entire group or parts of it. Talks with Australian investor Macquarie over a potential £500m investment in Platform X failed to deliver a deal earlier this year.

A TalkTalk spokesman said: “This is the first stage in a multi-year transformation of our business to deliver differentiated service and product to our customers. We are simplifying our business to ensure we can continue offering great value connectivity to millions of UK customers. As part of this, we have made the difficult decision to launch a consultation about the future of some roles at TalkTalk’s consumer business.”

Read more:
TalkTalk to axe hundreds of jobs as broadband provider targets £120m cost cuts

0
FacebookTwitterGoogle +Pinterest
previous post
Young workers twice as likely to take mental health leave as new UK research reveals scale of crisis
next post
Royal Mail enters foreign ownership for the first time in five centuries as Czech billionaire strikes £3.6bn deal

You may also like

Number of house sales this year forecast to...

August 30, 2023

What factors affect the durability of a car?

January 27, 2025

Trade-X reviews: deposits for the future

December 19, 2024

Exploring Walking Trainers for the UK Market: Design...

June 18, 2025

Mcdonald’s keeps DEI on the menu in Britain...

February 24, 2025

What Are the Core Elements of Any Healthcare...

August 8, 2024

Half of UK workers uninspired by the office:...

April 26, 2023

Legal Excellence in Miami: A Conversation with Mitchell...

November 23, 2024

Warning over future of British Steel as it...

February 22, 2023

The Future of Online Trading Platforms – A...

October 17, 2023

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Bank Capital Standards

      July 3, 2025
    • White House wants Obama intel officials ‘held accountable’ for role peddling 2016 Russia hoax

      July 3, 2025
    • EPA places numerous employees on leave for alleged misuse of official titles in unauthorized letter

      July 3, 2025
    • 2 lone Republicans vote against Trump’s ‘big, beautiful bill’ as it heads to president’s desk

      July 3, 2025
    • Freedom of Speech Is Worth Celebrating, as Europe Ramps Up Prosecution of “Hate Speech”

      July 3, 2025
    • Psychedelic Legalization

      July 3, 2025

    Categories

    • Business (8,379)
    • Investing (2,102)
    • Politics (15,938)
    • Stocks (3,188)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved