Bonus Awards At Royal Bank of Scotland
A 5.17 million shares reward worth £1.4 million which was due to be received next month has been rejected by Sir Philip Hampton the Royal Bank of Scotland (RBS) chairman who told the remuneration committee of the bank that it would not be appropriate to accept it.
The decision follows huge controversy over a £963,000 shares performance reward bonus that was announced by the bank to be paid to the RBS chief Stephen Hester for “substantial progress in making RBS safer, rebuilding performance in many businesses and improving customer service and support”.
When asked about the reward bonus to be paid the Prime Minister David Cameron said “That’s a matter for him” while a decision by the government to rule out the blocking of the £963,000 bonus to Mr Hester had also been taken.
Mr Cameron said that the last Labour government had agreed the contract that was given to Mr Hester when he joined the business in 2008.
The Royal Bank of Scotland is 82 per cent publicly owned following the bail out rescue plan which took place during the banking crisis of 2008-2009.
