read the news // live the culture
The Upcoming | Read the news // Live the culture
Friday 31st October 2014
Menu

Osborne in Brussels to fight plans for bankers’ pay‏

  Tuesday 5th March 2013
  Tuesday 5th March 2013

Chancellor of the Exchequer, George Osborne, visited the European Commission in Brussels today to argue against caps to bankers’ pay in the UK.

Osborne is reportedly facing the 27 EU representatives to stop new regulations, which could harm the UK’s financial sector.

George Osborne (pictured) is fighting for UK bankers’ bonuses in Brussels. Photo: EPA

A press release states the EU Commission “broadly endorsed the outcome” of the recent “package amending the EU’s rules on capital requirements for banks”.

The EU has proposed capping bankers bonuses to twice their salary, if shareholders allow.

The bloc parliament is still to decide “on outstanding technical issues, with the aim of reaching a final deal in the second half of March.”

The Commission has also said it will be “taking into account” the  “impact on competitiveness and financial stability” of the proposed regulations.

Osborne is to allegedly back the UK’s independent bank regulations, strategised in The Independent Commission on Banking (IBC), which states: “The Government is on track to have all legislation in place by the end of this Parliament (2015), and banks will be expected to have implemented reforms by 2019 at the latest.”

The European Union wants new bank regulations to be law by 1st January 2014.

Osborne claimed in a speech to JP Morgan on 4th February that the UK “now has the toughest and most transparent pay regime of any major financial centre in the world.”

He added that bank bonuses “fell by almost two thirds last year, and are less than a quarter of their peak before the crash.”

Osborne also said: “When we attract international firms to our country – firms that could go anywhere in the world to do their business – those firms bring jobs, and investment and prosperity…Britain should continue to aspire to be a home to the world’s financial services.”

Re-Define, an international economics Think Tank said on 25th February: “The European parliament is right to limit the maximum bonus bankers can command as a proportion of base salary.

“This will help tackle the culture of excessive risk-taking and the bending of rules that has now become endemic to banking. Undertaking this at an EU-wide level will also limit any large-scale migration of the so-called ‘talent’.”

Lucy Woods


More about the author


Share this story


  • Pin It
  • Share on Google+
  • Reddit
  • Stumble
  • LinkedIn

Latest related

“Lavish praise” not good for child improvement finds study
“Lavish praise” not good for child improvement finds study

Heaping praise on struggling students could make them less likely to succeed, a recent study has shown. The study, [read more]

Andy Burrows at Dingwalls | Live review
Andy Burrows at Dingwalls

Andy Burrows, the former drummer of Razorlight, has been quietly carving out a pretty impressive career for himself as [read more]

Fury | Movie review
Fury

Fury is a different kind of war film. Though it does tell a story about a group of exceptional war heroes and their [read more]

BluesFest 2014 at the Royal Albert Hall: day three with Paddy Milner, Danny Bryant, Dr Feelgood and many more
BluesFest 2014 at the Royal Albert Hall: day three with Paddy Milner, Danny Bryant, Dr Feelgood and many more

Day three of BluesFest 2014, and there was a bit of Elvis in the air. Elvis Costello, that is, sound-checking [read more]

DEC launches unprecedented Ebola aid appeal as death toll surpasses 4,500
DEC launches unprecedented Ebola aid appeal as death toll surpasses 4,500

An unprecedented aid appeal has been launched by the Disaster Emergency Committee (DEC) after the group announced it [read more]

Archives