The jobs are to go in the securities services sector of the bank. HSBC employs about 1,300 people across businesses in Jersey, Guernsey and the Isle of Man.

There will be 107 job losses here, although about 200 other HSBC employees in the Island will not be affected. More than 50 jobs are set to go in Guernsey.

However, some may be found work elsewhere in the group as part of the consultation process.

The job losses are the result of a 'global rationalisation' which is seeing some services centring in other areas, including Ireland and Luxembourg.

Last month, HSBC warned that up to 1,200 of its staff in the UK could face redundancy.

It is understood staff affected in the Isle of Man were informed of the changes this morning.

A spokesman said: 'HSBC can confirm that a number of roles in its Securities Services (HSS) and an asset management unit (AM) have been put at potential risk of redundancy as certain operations align themselves with Group models and customer needs.

'Most of the jobs affected are in HSS, mainly in the Isle of Man and Guernsey. There are also a small number of affected HSS roles in North America and in Asia. Most of the asset management jobs are based in Jersey.

'We wish to highlight that the decision taken in the Isle of Man is not reflective of our ongoing confidence in the jurisdiction as a place to do business. Our banking operation in particular continues to perform well in the Isle of Man.'

The spokesman said HSBC would continue to have important commercial, private banking, trust company, asset management and retail banking operations in the offshore islands.