New Chancellor Kwasi Kwarteng has been heavily-criticised over moves to axe the cap on bankers’ bonuses, as millions struggle during the cost-of-living crisis. Unions and economists were among those condemning the timing of the proposal to ditch the cap, introduced in the wake of the 2008 financial crisis, that limits annual pay-outs to twice a banker’s salary.
Sources close to Mr Kwarteng said no final decisions had been made, but hinted it could be part of a wider post-Brexit overhaul of City regulations would make London a more attractive place for global banks. The TUC said Mr Kwarteng should focus on raising everyone’s wages rather than “boosting bumper bonuses for those at the top”.
The Chancellor has promised a growth-focused shake-up of the economy and told City bosses last week: “We need to be decisive and do things differently.”
