Stephen Hester, chief executive of RBS, will forgo his 2009 bonus, in an effort to encourage the UK government – which owns 70% of the bank – to sign off RBS’s plans to pay a “commercial rate” of bonuses to its investment banking staff. Hester’s decision to give up a bonus – which could have amounted to £1.6m-plus as part of a near-£10m potential pay package – follows a similar decision by Barclays bosses John Varley and Bob Diamond last week. It also puts pressure on Eric Daniels, CEO of 41% state-owned Lloyds Banking Group, to follow suit, the FT notes in a separate report.

This entry was posted by Gwen Robinson on Monday, February 22nd, 2010 at 5:28 and is featured in The 6am Cut London (22 Feb 2010) . Tagged with barclays, bob diamond, Eric Daniels, john varley, Lloyds Banking Group, rbs, stephen hester. Edit this entry.