View more on these topics

Diamond agrees Barclays bonus condition

Barclays chief executive Bob Diamond has agreed to a change in the terms of his £2.7m deferred bonus for 2011 following pressure from shareholders.

This month, the Association of British Insurers issued an “amber top” alert to its members over Diamond’s £17.7m pay packet.

Investor group Pensions & Investment Research Group advised its members to vote against the bank’s remuneration report.

Barclays says both Diamond and the firm’s group finance director Chris Lucas have agreed to subject their bonuses, which are awarded in shares and deferred for three years, to a further condition which means 50 per cent will not be paid out in full until Barclays’ return on equity exceeds its cost of equity.

In a statement, Barclays says: “Bob Diamond, chief executive, and Chris Lucas, group finance director, have volunteered to subject their 2011 bonus awards, which were awarded all in shares and fully deferred over three years, to a further condition.

“That condition is as follows: that one-half of their deferred bonus award that may vest in each year will not pay out until Barclays’ return on equity exceeds its cost of equity and if that condition is not met, the potential payout caught by it will be subject to lapse if it is not met within three years from the date of the award.”

PageRussell chartered financial planner Tim Page says: “This is a tactical move to improve the public’s perception. The bottom line is investment bankers get the rewards and the taxpayers insure all the losses.”


Santander launches £775m securitisation

Santander has launched a £775m securitisation backed by prime residential mortgage loans. The notes, which are denominated in US dollars, are the 21st issuance from the Holmes master trust, which totals around £14.8bn of prime owner-occupied mortgages originated by the bank. The average loan-to-value of the loans within the pool of mortgages is around 68.7 […]

PPI: Govt reforms could hit people with health issues

Syndaxi Chartered Financial Planners managing director Robert Reid (pictured) says: “The impact of health issues is something the Government needs to recognise in its future policies.” The report also says 45 per cent of today’s over 50s may have to work and save for 11 years or more beyond their state pension age if they […]

MP in warning over bank scrutiny

Treasury select committee member David Ruffley has warned that the TSC does not have the expertise to properly scrutinise the Bank of England’s work on financial stability. Under the Financial Services Bill, the bank’s financial policy committee will be responsible for protecting and enhancing the stability of the UK’s financial system. The Government is considering […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    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