Further job cuts as integration of ABN Amro nears completion
John Hourican, who heads up the RBS's global banking and markets division, (GBM) said reducing the division to a smaller, more focused business would deliver more stable profits.
He went on to say the s50 billion deal to buy Dutch banking giant, ABN Amro, the largest ever banking takeover in Europe in October 2007, "was a massive, bold undertaking at exactly the wrong moment."
He added: "You could not have chosen the more perfect ill-timing for any transaction."
RBS has so far slashed headcount at the GBM division, which is headquartered in London, by 20 per cent since the banking crisis hit in 2008, from 24,000 at the end of 2007 to 19,000 reported at the end of the first quarter of 2011.
However, the GBM division began hiring again at the turn of the year, taking on 300 new staff between December and April this year.
This latest round of job cuts amounts to around 10 per cent of the groups remaining workforce.
No timescale has been revealed by RBS as to when the cuts will be made, and the bank has refused to comment on potential job losses.
The bank has also left 12 countries it formally operated in and has cut back its 'core' clients from 26,000 at its 2007 height to just 5,000 now.