Italy's biggest bank UniCredit said today it would shed 8,000 jobs to reduce costs by €1 billion in Western Europe under a new plan to 2023, while improving returns for shareholders. 

The bank, which is struggling to lift its share price despite years of successful restructuring, said it was raising the capital distribution for this year to 40% of its underlying net profit from 30%, thanks to a share buyback. 

UniCredit forecast an underlying net profit of €5 billion in 2023 and said it is targetting a net income of €4.7 billion for this year.  

It said revenues would grow on average by 0.8% annually in 2018-2023, while costs were seen falling by 0.2% over the same period.