State-backed banks are set to award bosses obscene amounts of cash in a sign that the banks’ bonus culture is alive and well.
Chief executives of RBS and Lloyds, the two banks bailed out by the taxpayer, are to receive bonuses of £2m each and senior executives at Barclays, HSBC and Standard Chartered, all of whom benfitted from the bail-out, are also planning to accept multi-million pound bonuses.
Chancellor George Osborne has been accused of giving in to the bankers. In the past weeks, the Chancellor and Business Secretary Vince Cable met with senior bankers to urge constraint during the bonus season.
But senior bank sources say that boardroom directors have no plans to voluntarily give up their bonuses like they did last year following widespread public criticism.
One even said: 'We deserve our bonuses.'