Royal Bank of Scotland is set to pay its bankers an estimated £500m in bonuses this year, amid renewed concerns over banker pay and inquiries into the way the bank has treated small businesses.
The Sunday Times reports that bonuses will still be paid despite forecasted losses at RBS.
Figures from the European Banking Authority last week showed there were 2,714 bankers in Britain paid over €1m (£830,000) a year, with average pay at €1.9m.
The RBS group bonus pool was about £900m last year, according to the Sunday Times, though £300m was deducted to pay for fines relating to Libor rigging.
The bank told the newspaper: “Variable pay has been transformed at RBS and is now a fraction of what it was before the crisis.”
Last week the FCA ordered Royal Bank of Scotland to carry out a past business review following claims the bank put viable businesses into default so it could make more profit.
The FCA has also sent a letter to all other relevant banks seeking confirmation that they are satisfied they do not engage in any of the poor practices alleged in the reports.
Last week Business Secretary Vince Cable passed a report into claims RBS put viable businesses into default to financial regulators.
The claims focus on a part of RBS called the Global Restructuring Group, which was set up to help struggling companies.
But firms have said GRG imposes fines, hikes interest rates and withdraws loans. They claim RBS’ property arm West Register then buys their properties at a fraction of their value.
A separate report by former deputy Bank of England governor Sir Andrew Large has also criticised RBS and other banks for how they treat struggling small businesses.