The government is taking action to tackle what it deems to be unacceptable bank bonuses.

It is to consult on a remuneration disclosure service and, working with international partners, will explore the costs and benefits of a financial activities tax on profits and remuneration.

The government has also asked the Financial Services Authority as part of its forthcoming review of its remuneration code to:

  • consider imposing more stringent requirements on the deferral and award of variable pay,
  • examine mechanisms for strengthening the link between performance and remuneration to ensure incentives are aligned with the long-term performance of the firm;†
  • and to consider how to vary capital requirements to offset risk in remuneration practices.

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    Debbie Lovewell-Tuck is a business journalist with 20 years’ experience specialising in pay, reward and HR. She joined Employee Benefits as a reporter in 2003, before becoming editor in 2015. Debbie is also responsible for editorial content across Employee’ Benefits events, including Employee Benefits Live and the Employee Benefits Awards, as well as hosting Employee Benefits’ webinars.View full profile

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