Thousands of jobs likely to be cut at Virgin Media O2 amid financial pressures

Virgin Media O2 is expected to cut thousands of jobs as it seeks to reduce costs amid billions of pounds of debt and increased competition, the BBC reported.

The broadband provider has not finalized the number of roles to be eliminated but it is likely to be a sizeable portion of its 16,000-strong workforce, according to the BBC.

The company is dealing with competition from smaller providers and major players like BT, which recently agreed to acquire rival TalkTalk, a move opposed by Virgin Media O2.

Most of the job cuts will affect non-customer facing roles, and some senior leadership changes are already underway, the BBC understands.

The Prospect union representing Virgin Media O2 staff described the cuts as "disappointing and very unsettling" and said it will work to support members and explore ways to reduce redundancies, including retraining and redeployment.

Virgin Media O2 is also reviewing its use of contractors and suppliers in connection with the planned job reductions.

As of June 30, Virgin Media O2's total debt was £27.2 billion, with assets valued at £45.9 billion, according to the company's latest accounts.