City bonuses 'have increased at more than twice the speed of wages since 2008'


CITY bonuses have increased at more than twice the speed of wages since the 2008 financial crash, research suggests.

The TUC said its analysis found that average City bonuses have doubled in cash terms over the period.

Bonuses in the finance and insurance sector are now worth, on average, around £20,000 a year - their highest level on record, said the union organisation.

The TUC said under the current cap, an employee's bonus can be no bigger than 100 per cent of their annual pay, or 200 per cent if there is approval from shareholders, but plans unveiled by Chancellor Kwasi Kwarteng in the mini-budget will remove the cap on bonus payments.

The TUC said its analysis indicated that the average City banker's bonus is worth almost two thirds of an average worker's pay.

TUC general secretary Frances O'Grady said: "Everyone who works for a living deserves to earn a decent living, but ministers are holding down the pay of millions of key workers, while lining the pockets of City financiers."