Royal Dutch Shell could “absolutely” cut more jobs despite already slashing 12,500 positions since last year, its chief executive has warned.

Ben van Beurden, who has wielded the axe in response to the plunging oil price and following the £35bn takeover of BG Group, said that future cuts could stem from the “continuous improvement drive” for efficiency.

Shell had about 93,000 employees at the time it launched its takeover bid for BG Group, which had 5,000 staff. It announced 7,500 job losses last year and has now made 5,000 cuts due to “synergies” with BG.

Asked if there could be more losses to come, Mr van Beurden said: “There could be, absolutely. Much will depend on how the environment will continue to develop.”