HSBC is overhauling its equities trading unit in London, cutting jobs and shifting senior UK-based staff to Paris or Hong Kong in the latest example of a bank scaling back in stock trading.

The UK lender has told staff of its plans to make cuts in its London equities division in the past two days, according to two people familiar with the matter. HSBC has cut some employees, but also offered others the chance to transfer to its Paris and Hong Kong office rather than accept redundancy, the people said.