THE GUARDIAN: Ministers cave in to City and reject calls to tackle highest earners as No 10 seeks face-saving deal
Britain's banks were given the go-ahead tonight to pay unlimited bonuses, drawing to a close a two-year political battle to rein in the City.
After months in which a series of government ministers of all parties have threatened a toughening in the stance over City bonuses, Downing Street said the government did not intend to intervene in the pay of the UK's top bankers.
Ministers are instead hoping for a face-saving deal in which the banks agree to lending targets and improve the way they disclose their pay deals. One of the options being discussed is releasing information on the five highest paid individuals at each bank.
"We've made a broad statement which is about the need to see some restraint and some responsibility from the banks, but we are not going to set bonus pools for individual banks," the prime minister's spokesman said. >>> Patrick Wintour, Jill Treanor and Allegra Stratton | Monday, January 10, 2011
THE INDEPENDENT: Tough talk on bank bonuses comes to nought: The Government owns 83 per cent of RBS. So why does it claim to be powerless to halt another round of enormous bank bonuses? >>> James Moore, Deputy Business Editor | Tuesday, January 11, 2011
