The number of new jobs in the City fell by 11% in July, according to figures from financial services recruiter Astbury Marsden.

The research shows 4,800 new City jobs were created in July 2011, down from 5,400 in June 2011.

Mark Cameron, chief operating officer at Astbury Marsden, says: “Behind the headline job cut figures, new roles are being released, but at a lower rate than last month – it is more than the normal summer slowdown.”

“Banks are still replacing the vast majority of staff they lose through natural attrition. Some teams are continuing to expand – especially the recent mainstays such as regulatory and risk within investment banks. However, what we are seeing is a combination of cost-cutting to make up for weak revenues and a bigger cull of lower-performing staff than would normally happen.”