Banking (Responsibility and Reform)

Gordon Marsden Excerpts

Tuesday 7th February 2012 Commons Chamber

[Mr Hoban]

The culture of bonuses did change under the previous Government. There was a tripling of bank bonuses between 2001 and the peak of the financial crisis. That is what we saw happening.

[Mr Gordon Marsden (Blackpool South) (Lab)]

What were you saying about it at the time?

[Mr Hoban]

Well, one thing is for certain: I was not designing the contracts that gave the big payouts.

It is time that the banking sector demonstrated leadership, and the coming bonus round is another chance for it to demonstrate leadership on pay. As we empower shareholders to drive remuneration policy, the banking sector has to be at the vanguard of the debate on responsible executive pay.