Its credit card and collections operation will be reduced from nine regional offices to two sites in Birmingham and staff were put on consultation today.
Back office staff in branch networks will also be affected by the losses but no customer facing staff will be affected.
An HSBC spokesman says: “1,700 jobs are at risk of redundancy due to a restructuring. But we are creating several hundred new roles also so not all of those jobs will go.
“We told staff today and the consultation period is usually around 90 days, though in reality it will take a lot longer.”
The news comes after RBS announced it will be cutting 3,700 jobs across its retail branch network in light of the Treasury and European Commission’s plans to break up the bank and sell off certain assets.