British American Tobacco (BAT) is cutting 5,500 jobs across its global operations as an AI-focused transformation programme gathers pace.
The London-based firm, which includes Lucky Strike cigarettes and the Vuse vaping brand in its stable, said the job losses formed part of its Fit2Win programme launched last year.
It is designed to make the group “more agile, cost disciplined and innovative”.
Money latest: Life as an investment manager
In addition to the job cuts, BAT said a further 3,500 roles would be moved to ​strategic partners.
The employment changes, as a whole, affect a fifth of the company’s workforce and only exclude its employees in the US.
Chief executive Tadeu Marroco said: “We are building a future-ready organisation that is more agile, cost disciplined and technology enabled.
“Fit2Win is central to this ambition, strengthening how we operate and our ability to compete in a rapidly evolving environment.
“These changes affect many of our colleagues, and we are focused on supporting them through this transition with care and respect, as we position the business for the future.
“Whether through strategic partnerships or a more focused operational footprint, we are creating a simpler, faster BAT.”
The company’s shares were down more than 1% following the announcement.
BAT said most ‌of the changes it planned had been confirmed ‌with employees but some consultations were yet to be completed.
This breaking news story is being updated and more details will be published shortly.
Please refresh the page for the fullest version.
You can receive Breaking News alerts on a smartphone or tablet via the Sky News App. You can also follow @SkyNews on X or subscribe to our YouTube channel to keep up with the latest news.
(c) Sky News 2026: British American Tobacco cutting 5,500 jobs in AI drive