Morgan McKinley research: Expectations still high in the City for bonuses

Two-thirds (67%) of employees in the financial services sector still expect to receive a bonus in the 2011/12 round compared to 88% last year, according to research by Morgan McKinley.

The Bonus expectations survey found that 14% think their bonus will be higher than last year, while 32% expect it to be lower, and 45% predict it will be the same.

Over 85% of respondents anticipate that bonus payments will be up to 30% of base salaries, including 45% who predict their bonus will be no more than 10% of their base salary.

Andrew Evans, chief operations officer at Morgan McKinley Financial Services, said: “Our recent survey shows a considerable change in expectations from financial services professionals regarding their bonus payments for 2011/12.

“As bonuses are directly correlated with the performance of financial institutions, these findings are in line with expectations.”