Lloyds Banking Group has agreed a “golden hello” package worth up to £5.8m for new group finance director George Culmer in order to prise him from his 12-month notice period with RSA Insurance Group.
Culmer will replace former finance director Tim Tookey, who left the bank to join Friends Life at the end of last month. Culmer has been chief financial officer of RSA since May 2004 and will take up his new role on May 16.
The appointment brings to an end a drawn out process in trying to agree a start date for Culmer, who was required to work a 12 month notice period for RSA.
Culmer will receive an annual salary of £720,000 and a discretionary annual bonus of up to 200 per cent of his salary. He will also receive a long-term performance-based share incentive of up to 225 per cent of his salary, which will only vest in three years if he meets certain targets, and will receive an allowance of 25 per cent of his salary to fund a personal pension.
Lloyds will give Culmer shares worth £1.9m, which will vest in 2013 and 2014, as he has had to give up deferred awards and a cash bonus from RSA.
Prior to RSA, Culmer was head of capital management at Zurich Financial Services and chief financial officer of its UK operations.
LBG group chief executive Antonio Horta-Osorio says: “George brings a wealth of experience from his time at RSA and his appointment will strengthen further the senior team at Lloyds Banking Group and help us to deliver on our plans to transform the bank and ultimately achieve our goal of becoming best Bank for customers.”