The Clydesdale and Yorkshire banks are to cut more than 1400 jobs in the UK, their owner said today.
National Australia Bank (NAB) confirmed the jobs would go by 2015, following a strategic review which was announced in February.
The overhaul will shrink the size of its UK operation, which has 337 branches and a 8300-strong workforce.
Up to 60 jobs are to be cut across Scotland, although existing Clydesdale branches will continue to operate.
Clydesdale and Yorkshire will now focus primarily on Scotland and Northern England, NAB said, as it closes 29 of its Financial Solution Centres in southern England, and six back office locations.
Officials were due to hold crisis talks with unions this morning at the start of a 90-day consultation period.
A Clydesdale spokeswoman said: "The role reductions announced overnight will be in business banking and related back office and support functions. Less than 60 will be in Scotland between now and end of September 2015."
NAB said the review was in response to "the deterioration in the economic and operating conditions" in the UK, particularly in the commercial property market.
Clydesdale and Yorkshire banks racked up a £25million loss in the first half of the year, compared with a £77m profit in the previous year.
NAB chief executive Cameron Clyne said: "In the last half-year there has been a significant downgrade in the growth prospects of the UK economy.
"The action we are taking is needed to adapt to this current economic environment in the UK, and to reposition the UK banking business to improve returns for the group over the medium term."
He added: "While every effort will be made to support our people, the substantive repositioning of the business will impact roles in the UK."
The Yorkshire Bank was founded in 1859 in Halifax, West Yorkshire, and has 185 retail branches. Glasgow-based Clydesdale, which was bought by NAB in 1987, has 152 outlets. Following consultation, the banks' UK workforce will be reduced to around 6900.
Unite national officer David Fleming said the NAB announcement was "nothing short of brutal".
He said: "Unite finds it disgusting that the company decided to release a statement from Australia in the middle of the night so UK staff across Yorkshire and Clydesdale banks would wake up to hear that their jobs are being cut through the morning news reports. This is not the behaviour of a responsible or credible organisation."