Check out the splash in today’s Sunday Times:
“The boss of Royal Bank of Scotland will be handed a £780,000 bonus just weeks after the bailed-out lender was fined £390m for its role in the global interest rate rigging scandal.
“… The bonanza comes at a sensitive time for the Edinburgh-based lender, which was rescued from collapse in 2008. Last week RBS agreed to pay out £390m, including £87.5m to the British financial watchdog, after admitting staff had manipulated Libor, a key benchmark interest rate. In an apparent attempt to boost their bonuses some 21 RBS traders had been involved in the manipulation.”
You and I might think that the bankers would lie low as they have been regarded as vermin by all right-thinking people for the past five years – since they crashed the world economy through a combination of greed and incompetence by coincidence. But no, it seems that the boss of RBS, Stephen Hester, just can’t manage on his pay cheque. After all, he is only paid a salary of £1.2 million by the RBS Group. Of course if he invested the £6.5 million in pensions and bonus payments he got in 2010 he may have been able to get by. To be fair he did, under public pressure, decline a bonus of just under £1 million in 2012 and declined another in June of that same year after the RBS computer debacle. This bonus will go some way to making up for that and keeping the wolf from the door of his mansion.