BP Plc is cutting 4,700 positions internally and 3,000 contractor jobs, Chief Executive Officer Murray Auchincloss told staff on Thursday, as the London-based energy giant seeks to reduce costs.

British oil major BP on Thursday said it is planning to cut thousands of jobs as part of a major cost-cutting drive.

Oil giant BP is to cut about 4,700 staff, more than 5% of its total workforce, in order to reduce costs. BP has also told staff that about 3,000 contractor positions will be cut. The energy giant has a global workforce of around 90,000, with about 14,000 in the UK.

BP announced on Thursday that it will cut around 4,700 staff, or over 5% of its total workforce, as part of CEO Murray Auchincloss' efforts to reduce costs.

BP has announced it is cutting 4,700 jobs from its global workforce. The energy giant also said it will cut 3,000 contractor roles as part of a cost-saving drive across the company. It comes as last year, BP launched a plan to reduce its costs by at least $2bn (£1.6bn) by the end of 2026 - with the cuts a part of that.

BP CEO Auchincloss last year vowed to reduce the British company's costs by at least $2 billion by the end of 2026 as part of his drive to boost returns amid investor concerns