The cuts, amounting to 17% of the staff and almost 20% of the branch network, is expected to be formally announced this week, reported the local the financial daily Expansion.
Barclays’ Western Europe retail banking unit plunged to a loss of £139m in the 12 months to 31 December compared with a profit before tax of £280m in 2009.
The bank’s chief executive Bob Diamond considers losses in Spain to be unacceptable and plans to reposition its activities there to concentrate on higher earners.
Just two years ago, Barclays opened 98 branches across Spain.
In 2010, Barclays expanded its Western European branch network by 8% to 1,363 units.
