Coronavirus-hit Monzo to cut up to 120 jobs

Coronavirus-hit Monzo to cut up to 120 jobs

Digital bank Monzo is axing up to 120 jobs as it faces up to the economic fallout of the Covid-19 pandemic.

“Unfortunately we haven’t been able to achieve the goal of preventing the risk of redundancy at this time. It’s genuinely heartbreaking to share the news,” says an internal memo seen by Reuters.

The losses, which will hit around eight per cent of the UK-based startup's workforce, will fall at its head office and operations teams.

They are separate from the 295 positions which were furloughed in March and the 165 redundancies associated with the planned closure of a Las Vegas customer support office.

In March, CEO Tom Blomfield - who has since moved on to take up the role of president - hit out at rumours about an imminent collapse, insisting "Monzo is not going bust".

But since then the firm has been scrambling for funding, seeking to raise between £70 million and £80 million to see it through the disruption - at a 40% discount on its previous valuation of £2 billion.

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