Citi cutting nearly 400 London jobs

LONDON (Reuters) - Citigroup is slashing nearly 400 jobs in London, mostly in fixed income, a source familiar with the situation said on Thursday.

The U.S. bank, which employs 11,000 people in London, declined to comment.

Citi (C.N) said last week it would cut 4,200 jobs worldwide after losing $9.83 billion (4.97 billion pounds) on write-downs for mortgages in the fourth quarter.

The source told Reuters Citi planned to add equities jobs in London over the course of 2008.

As the credit crisis deepens and banks continue to cull thousands of jobs, Britain's Centre for Economics and Business Research expects the City of London financial hub to let go of about 8,000 workers by the end of the year, the Times said in its online edition.

That is an increase on the 6,500 job losses CEBR forecast in October. The centre was not immediately available for comment.