View more on these topics

RBS to pay £17m bonus to controversial GRG unit

Royal Bank of Scotland is paying out bonuses worth £17m to its controversial Global Restructuring Group division, despite the business still being under investigation by the FCA.

The Sunday Times reports it has seen documents which show RBS has approved bonuses for GRG based on 2013 performance, despite claims it deliberately forced small businesses into default to boost its own profits.

More than 1,000 small business owners have lodged complaints about the GRG business and the bank is reportedly set to face several law suits over the claims.

While a Clifford Chance report commissioned by RBS declared no wrongdoing on the bank’s part, the FCA’s investigation is still ongoing.

The regulator first ordered RBS to conduct a past business review in November.

Last week Treasury select committee chairman Andrew Tyrie slammed RBS for giving “willfully obtuse” evidence earlier in the year, after the bank’s deputy group chief executive Chris Sullivan appeared to make a U-turn in describing the GRG division as a “profit centre”.

RBS announced a 93 per cent rise in profit from £1.34bn to £2.65bn in its interim results statement last week.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

There are 2 comments at the moment, we would love to hear your opinion too.

  1. How big are this year’s FCA, FSCS and MAS bonus pots going to be?

  2. @ Julian

    Not as big as Clifford Chance’s

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