View more on these topics

Banks push back on executive pay reform

Payment-Fine-Currency-Money-700.jpg

The British Bankers’ Association is warning the Government not to further curb executive pay, according to the Daily Telegraph.

The BBA has told the Department for Business, Energy and Industrial Strategy that the pay rules rolled out in 2013 are “working satisfactorily”.

The trade body laid out its position in its response to Government green paper on corporate governance reform issued in November 2016.

The green paper contains proposals to toughen rules around how often shareholders get binding votes on executive pay.

The BBA response says: “Given the current regime is still relatively new, and there appears little evidence that shareholders consider they need additional powers at this stage, we believe it is premature to propose further significant changes.”

The body adds that it would not want annual binding votes on top-level pay packets.

The BBA says the furthest it would be comfortable with is for binding votes on pay if at least 75 per cent of the previous year’s shareholders had not agreed on a deal.

In other news, the Financial Reporting Council has launched a review of the corporate governance code, which also raises the prospect of tougher rules over executive pay.

The accounting watchdog is only allowed to sanction chartered accountants, which leaves many chief executives outside its remit.

Recommended

1

Former BBA chief apologises over financial crisis

The former chair of the British Bankers’ Association has apologised to a committee of MPs for the role of banks in causing the financial crisis, while also seeking to defend her track record at the trade body. At a Treasury committee hearing on her appointment as chair of the Office for Tax Simplification, Knight was […]

Barclays-HSBC-London-Canary-Wharf-2012-700x450.jpg

CII partners with BBA to improve trust in banking

The Chartered Insurance Institute has announced a working partnership with the British Bankers’ Association which aims to improve standards and trust in retail banking. The two bodies will deliver a series of initiatives for those in customer-facing roles within banks. They say a key focus will be meeting changing customer needs, particularly driven by the […]

Payment-Fine-Currency-Money-700.jpg
3

BlackRock threatens votes against excessive executive pay

BlackRock has threatened to veto board director re-appointments at companies where top executives received disproportionate pay packets. BlackRock told MPs on the business, energy and industrial strategy committee yesterday that it will be sending a letter to 350 UK companies expressing its concerns over increasing salaries and pension contributions and how these are benchmarked. BlackRock’s […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com