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George Osborne ‘duping’ the taxpayer as state backed b...

George Osborne ‘duping’ the taxpayer as state backed banks enjoy bonus bonanza

07 March 2014

Britain’s largest union Unite accused the chancellor George Osborne of ‘duping’ the taxpayer and called on him to make an urgent statement to the House of Commons as it emerged that state backed Royal Bank of Scotland and Lloyds Banking Group splashed out a total £35 million in bonuses for their top bankers.

Bailed-out RBS and Lloyds Banking Group have handed out the bonuses to their top management teams. The 11 members of RBS's executive committee, including its chief executive Ross McEwan, have cashed in long-term bonus plans and been awarded new payouts potentially worth more than £23 million.

Lloyds, which is 31 per cent owned by the taxpayer, has handed out more than £12 million in share bonuses – granted in previous years but due to be paid out now – while the head of its retail bank, Alison Brittain, has cashed in a near £1 million ‘golden hello’ when she joined the bank two years ago.

Commenting Unite national officer for finance, Rob MacGregor said: “Taxpayers will feel duped by George Osborne, who is standing by and turning a blind eye to lottery style bonuses in the banks they bailed out.
“Ordinary counter staff that paid with their jobs and face a future of uncertainty will be bewildered at how the government as key shareholder can allow failure to be rewarded in such a gratuitous way.

“George Osborne needs to come to the House of Commons and explain why he is failing to rein in the excesses of the City and turning a blind eye the bonus bonanza in our state backed banks.”

ENDS   

For further information please contact Unite head of media and campaigns Alex Flynn on 020 3371 2066 or 07967 665869.

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Notes to editors

•    Unite is Britain and Ireland’s largest trade union with over 1.4 million members working across all sectors of the economy. The general secretary is Len McCluskey.