15th September 2022
High Pay Centre: Scrapping cap on bankers bonuses would be a "pro-rich ideological move"
Luke Hildyard, Executive Director of the High Pay Centre, a think tank focused on pay, corporate governance and responsible business, has responded to the news that Chancellor of the Exchequer Kwas Kwarteng is considering removing the cap on bankers bonuses, calling it a "pro-rich ideological measure"
"The bonus cap has probably helped to contain bankers' pay awards but they've still reached record highs this year while the rest of the country has undergone an epic cost of living crisis and profound economic hardship.
We know that bonuses in the financial services sector have helped the richest 1% of the population to capture an increasing share of total UK incomes. Removing the cap would be a pro-rich ideological measure that sends a depressing message about who policymakers listen to and think about when making economic policy."