Yahoo has announced in a statement that it is set to carry out cuts and ‘phased transitions’. The company expects to make savings of £236 billion from the layoffs.

The layoffs come as part of a major business restructuring as Yahoo moves to redeploy resources to protect the core business.

Scott Thompson, CEO of Yahoo, said in the statement: "Today's actions are an important next step toward a bold, new Yahoo - smaller, nimbler, more profitable and better equipped to innovate as fast as our customers and our industry require."