Virgin Media O2 plans to cut 4,000 jobs amid £22bn debt

British telecommunications company Virgin Media O2 (VMO2) is reportedly preparing to cut approximately 4,000 jobs, representing about 25 percent of its 16,000-strong workforce. The restructuring aims to reduce operating costs and manage a significant debt burden of approximately £22 billion.

Most of the affected roles are expected to be non-customer-facing positions, though changes to senior management are also under consideration. Trade unions, including the Communication Workers Union (CWU) and Prospect, have reportedly been briefed on the plans. VMO2 has declined to comment on the reports.

The company was formed in June 2021 through a £31 billion merger between Liberty Global’s Virgin Media and Telefónica’s O2 UK. Since its inception, the joint venture has faced challenges managing high debt levels, which have been exacerbated by rising interest rates. Details regarding the restructuring are expected to be clarified during the company’s third-quarter financial results announcement.