LONDON (AFP) – Britain?s biggest banks are poised to pay out a combined 6 billion in bonuses despite government demands for restraint on City pay, the Sunday Times reported, without identifying its sources.The size of the payout will embarrass George Osborne, the chancellor, who is hoping to announce a peace deal with the City this week that will include targets for lending to small businesses and curbs on pay.Those talks, codenamed Project Merlin, could still founder, the newspaper cited senior sources as saying. They will not be helped by the disclosure that Barclays, HSBC, Royal Bank of Scotland and Standard Chartered are lining up big paydays for their traders and investment bankers, the report said.Bob Diamond, chief executive of Barclays, is likely to be one of the big winners in spite of flat profits at the bank, the Sunday Times said, adding that the bank?s board meets this week to sign off on a bonus worth up to 9.5m.Diamond, who is worth an estimated 95 million and was once described by Lord Mandelson as the unacceptable face of banking, recently told a Treasury Select Committee of MPs: "There was a period of remorse and apology for banks and I think that period needs to be over."Stuart Gulliver, chief executive of HSBC, is estimated to be in line for a payout of as much as 10m ? although a decision on the bonus is still three weeks away, according to the report..Stephen Hester, chief executive of Royal Bank of Scotland, is expected to receive a bonus of about 2m, paid in shares, the newspaper added..All the bank bosses are predicted to take their bonuses after two years in which they have waived the payments or given them to charity. Diamond in particular is said to see no point in making such gestures. His proposed bonus is believed to be about half of what he is entitled to receive under the terms of his contract,the Sunday Times said.The Project Merlin talks are forecast to conclude this week. The banks are expected to pledge to lend between 160 billion and 190 billion this year. Price Waterhouse Coopers, the accountancy firm, is likely to be asked to make sure the banks stick to their promises, the report predicted.HSBC said its remuneration committee has not met, so Gulliver's bonus has yet to be decided.The bank said more than 90% of its profits are made outside the UK, it has paid out more than $24 bln (14.9 bln) in dividends since the financial crisis began and has paid over 5 bln in tax over the past five years.The Hot Chick .Preludes Mastermixes volume1 .Serenades for Strings .Step on .Download G-Man II (VWM14)
UK banks 'to pay out 6 bln in bonuses'
LONDON (AFP) – Britain?s biggest banks are poised to pay out a combined 6 billion in bonuses despite government demands for restraint on City pay, the Sunday Times reported, without identifying its sources.The size of the payout will embarrass George Osborne, the chancellor, who is hoping to announce a peace deal with the City this week that will include targets for lending to small businesses and curbs on pay.Those talks, codenamed Project Merlin, could still founder, the newspaper cited senior sources as saying. They will not be helped by the disclosure that Barclays, HSBC, Royal Bank of Scotland and Standard Chartered are lining up big paydays for their traders and investment bankers, the report said.Bob Diamond, chief executive of Barclays, is likely to be one of the big winners in spite of flat profits at the bank, the Sunday Times said, adding that the bank?s board meets this week to sign off on a bonus worth up to 9.5m.Diamond, who is worth an estimated 95 million and was once described by Lord Mandelson as the unacceptable face of banking, recently told a Treasury Select Committee of MPs: "There was a period of remorse and apology for banks and I think that period needs to be over."Stuart Gulliver, chief executive of HSBC, is estimated to be in line for a payout of as much as 10m ? although a decision on the bonus is still three weeks away, according to the report..Stephen Hester, chief executive of Royal Bank of Scotland, is expected to receive a bonus of about 2m, paid in shares, the newspaper added..All the bank bosses are predicted to take their bonuses after two years in which they have waived the payments or given them to charity. Diamond in particular is said to see no point in making such gestures. His proposed bonus is believed to be about half of what he is entitled to receive under the terms of his contract,the Sunday Times said.The Project Merlin talks are forecast to conclude this week. The banks are expected to pledge to lend between 160 billion and 190 billion this year. Price Waterhouse Coopers, the accountancy firm, is likely to be asked to make sure the banks stick to their promises, the report predicted.HSBC said its remuneration committee has not met, so Gulliver's bonus has yet to be decided.The bank said more than 90% of its profits are made outside the UK, it has paid out more than $24 bln (14.9 bln) in dividends since the financial crisis began and has paid over 5 bln in tax over the past five years.The Hot Chick .Preludes Mastermixes volume1 .Serenades for Strings .Step on .Download G-Man II (VWM14)