(Bloomberg) -- UK investment bank Peel Hunt Ltd. is cutting some roles across its workforce as the drought in capital markets activity enters its third year. 

The reduction will affect less than 10 staffers, according to a person familiar with the matter, who asked not to be named discussing personnel information. A representative for Peel Hunt declined to comment. 

Peel Hunt is part of a shrinking class of so-called corporate brokers. For companies listed on the London stock exchange, a corporate broker is a must-have middleman that handles interactions with investors.

The industry has been squeezed by the sleepy market for initial public offerings and a shrinking pool of smaller UK-listed firms, leading some players to consolidate. Last year’s acquisition of Numis by Deutsche Bank AG for £410 million ($507 million) is one of the biggest examples of that to date. 

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Peel Hunt, which had 308 employees at the end of September, expects to report a loss this year, which would be its second in a row. The company also recently lost John Welch, its head of corporate broking and equity capital markets, to rival Berenberg.

“Market trading volumes remain low and ECM issuance continues to be subdued,” the company said in a statement this month. “We expect these trends to continue until there are meaningful signs of recovery in the UK economy and fund outflows reverse.”

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