Sources said no final decisions had been made, but confirmed chancellor Kwasi Kwarteng considered it a way of making London a more attractive place for global banks to do business.
City bosses have long complained about the EU-wide bonus rules which cap bonuses at twice an employee’s salary. They say they lead to higher base pay that pushes up banks’ fixed costs. Those costs cannot be adjusted in line with the firm’s financial performance, they add, making the UK less attractive than the US or Asia.
Critics have argued that uncapped bonuses lead to the kind of excessive risk taking that spawned the financial crisis of 2008. But others argue that other new rules that can hold senior managers personally and potentially criminally responsible for misconduct, plus the ability to claw back bonuses years after they are granted, achieve a sufficient disincentive.
Taking the lid off bankers’ pay at a time when many households are facing hardship from the rising cost of living will undoubtedly provoke outrage in many quarters, but it is just one of a number of deregulation initiatives being considered.
The top 1% earners want ALL the money to themselves …
Bankers bonus are outrageous anyway .
For years now bank services to customers have deteriorated.
Yet they use our money to make enough money to pay themselves vast bonuses …
It doesn’t end there, the tortes want to scrap all workers rights, reese mogg believes in no minimum wage instead the nhs, teachers pay for example, should be set accordingly by each hospital/school , no automatic right to holidays, are just some of the ideas this government have,
Genius. Pay bankers more. Why not remove some of the banking regulations as well? Make the financial sector more profitable by making it more risky and encourage more risky behaviour. That’s the ticket. What could possibly go wrong?
Many years ago I worked with a bloke who’s name was Kwami Achempong (probably spelt that wrong), I think he was Nigerian but always felt that was a name to be reckoned with too
Someone else who went to Eaton, on the extreme right of the Tory Party, a supporter of Owen Patterson, who broke the ministerial code and lied about it and who was forced to resign.
He also criticised the standards people.
We do not want or need another banking crash, which is what deregulation risks.
@Muddy , from that link of yours then it could be said that he and his
like are largely responsible for the state of this nation at present ??
National debt is at record levels and all they fink of is bankers bonuses!!
Any good bookmaker could do better !
Liz Truss defends plan to lift cap on bankers’ bonuses.
Speaking in New York ahead of a meeting with President Joe Biden, the PM said she was about “delivering for people”.
BBC Political Editor Chris Mason asked Ms Truss whether she was happy to see bankers getting bigger bonuses and for the rich to get richer.
“What I want to see is a growing economy,” Ms Truss said. “If that means taking difficult decisions which are going to help Britain become more competitive, help Britain become more attractive, help more investment flow into our country, yes, I’m absolutely prepared to make those decisions.”
All that from giving bankers bigger bonuses … it’s a miracle …
President Biden tweeted earlier that he was “sick and tired” of the theory that cutting taxes for business and the wealthy would see the benefits “trickle down” into the pockets of poorer workers.
Good for Joe … he may be Sleepy but he ain’t Dim …
