The UK tax-payers are getting angry with the High Street bailouts. These were meant to save a struggling industry with a reverse Robin Hood “stealing from the poor to give to the wealthy.” The world was gonna end if the wealthy could not make their next Ferrari payment. But banks, like Barclays, are paying incredible sums in “role-based allowances.” European Union governments are questioning if this is fair with such high unemployment. Are “role-based payments” simply being used to avoid the European Banking Authority (EBA) bonus cap?
- Head of the Investment Bank Tom King £600k of shares.
- Chief Risk Officer Robert Le Blanc £300k of shares.
- CEO Antony Jenkins £237k of shares.
Barclays announced that these shares would “vest over five years at a rate of 20% per year.” That is a pretty nice “role-based” allowance (bonus.) It seems like the London banks believe bonuses are essential to their business model. But something is gotta break – either the European Union attempt to control bankers or the High Street bankers. We will see who is the winner.