Mobile phone giant Vodafone today announced it is cutting around 500 jobs in the UK as part of efforts to reduce costs.

The cuts to the 10,000-strong UK workforce come as the group looks for £1 billion of cost savings worldwide by March 2011.

Newbury-based Vodafone, which also has a base in Adderbury near Banbury, has seen conditions worsen in the UK and other key markets as the recession has deepened, hitting sales of handsets.

It is not known where the jobs will be lost.