Vodafone To Axe 500 British Jobs

Mobile phone operator Vodafone is to cut around 500 jobs in the UK, it has been confirmed.

The world's largest mobile phone company made the announcement, as the group looks for £1 billion of cost savings worldwide by 2011.

It currently employs 10,000 people in Britain.

A spokeswoman said: "Vodafone UK has today announced reductions to its operating costs in order for it to compete more effectively in the UK market.

"As customers look for best value in their mobile services, Vodafone intends to reduce its cost base whilst continuing to invest in new products and services to meet changing customer needs."

The 500 job cuts - which would see a cut of 5% of the UK's workforce - will include 170 posts at Vodafone's head office in Newbury, Berkshire.

The company also has call centres and offices in Newark, Banbury, Theale, Trowbridge, London, Warrington, Stoke-on-Trent and Hayes.

Vodafone also said that it did not intend to close any stores, but planned to cut costs by offering more online services.

At its latest quarterly results earlier this month Vodafone said underlying revenue in Europe was down 2.8%, with revenues from the troubled Spanish business falling a further 5.8%.

(JM/BMcC)