Banking: Royal Bank of Scotland

Lord Oakeshott of Seagrove Bay Excerpts

Tuesday 1st February 2011 Lords Chamber

[Lord Sassoon]

My Lords, indeed those numbers for the marginal rates of tax are correct. And that is not the only tax we extract from the banks—far from it. This Government have put in place a bank levy which will, when it comes into full force, raise an additional £2.5 billion out of the banking sector; a larger amount of money than was taken from the banks in the previous Government’s bonus tax.

[Lord Oakeshott of Seagrove Bay]

My Lords, can I encourage the Minister to use the full resources of the Treasury to try to find a way of untying his hands? I cannot believe that there is not a way around this. Is the Minister aware that Sir Philip Hampton, the chairman of RBS, a year ago told us that over 100 Royal Bank of Scotland bankers collected £1 million? What does the Minister expect the figure to be this year? Is he aware that I and the overwhelming majority of taxpayers, who are having to pay £828,000 of every £1 million paid out to RBS bankers, believe that we are entitled to see the names on the cheques?

[Lord Sassoon]

My Lords, the Royal Bank of Scotland is due to announce its results on 24 February. It normally makes its remuneration disclosures on or around that date, so we will have to wait. I have no knowledge of the number of bankers who might or might not be getting particular levels of bonus. Our relationship with the Royal Bank of Scotland is managed on a commercial, arm’s-length basis through UK Financial Investments.