RBS bankers could leave over bonuses

Or the lack of them.

The Scotsman reports that fund managers and City headhunters say the calls by the Labour Party for the government to use its majority stake in the bank to block bonuses worth up to 200 per cent of salary are half-baked. They say it could lead to poaching of RBS staff, by American banks in particular.

Paul Mumford, a fund manager with Cavendish Asset Management, which has 3.3m shares in RBS, said: 'I would much prefer bonuses to be left to the individual institutions rather than politicians.

'The danger is if you get an imposed (lower) cap, people will leave RBS to join foreign banks. And, unfortunately, the people that do tend to leave in this situation tend to be the best ones who are most employable elsewhere.

'We don’t want to ruin the RBS gradual recovery by it losing their best people'.

Hit the link below to access the complete Scotsman article:

Top bankers could quit RBS if bonuses capped

Deutsche Bank sinks to surprise Q4 loss

image: © C.P.Storm

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