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Seventy five percent of the EU's banking millionaires are based in the City of London (Photo: Neil Howard)

EU watchdog to close loophole on bank bonuses

The EU's banking watchdog is poised to close a loophole allowing banks to use special allowances in a bid to get round the bloc's rules on bonus payments.

Under the rules passed by MEPs and ministers in 2013, banks are allowed to pay staff bonuses on a ratio of up to 1:1 with wages, with an exemption to pay bonuses on a 2:1 basis with the approval of at least 66 percent of shareholders.

However, the European Banking Authority (EBA), which implements EU rules on lenders, was ordere...

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Author Bio

Benjamin Fox is a seasoned reporter and editor, previously working for fellow Brussels publication Euractiv. His reporting has also been published in the Guardian, the East African, Euractiv, Private Eye and Africa Confidential, among others. He heads up the AU-EU section at EUobserver, based in Nairobi, Kenya.

Seventy five percent of the EU's banking millionaires are based in the City of London (Photo: Neil Howard)

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Author Bio

Benjamin Fox is a seasoned reporter and editor, previously working for fellow Brussels publication Euractiv. His reporting has also been published in the Guardian, the East African, Euractiv, Private Eye and Africa Confidential, among others. He heads up the AU-EU section at EUobserver, based in Nairobi, Kenya.

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