LONDON (Reuters) - Royal Bank of Scotland’s (RBS.L) Chairman Philip Hampton said he had sympathy with critics of bank bonuses but defended the part-nationalized bank’s own pay proposals.
“I do accept that some people in some organizations have been significantly overpaid in the financial sector in recent years but I would not say that for RBS,” Hampton said at RBS’s annual meeting.
Hampton also said UK Financial Investments (UKFI), which manages the government’s stake, was a “pretty tough taskmaster” on the issue of executive pay.
UKFI on Wednesday supported RBS’s pay plans.
“The UKFI and our institutional investors were strongly supportive of the bonus proposition in relation to Stephen Hester and strongly supportive of our pay arrangements in general,” he said.
Hampton and RBS’s Chief Executive Stephen Hester waived their bonuses earlier this year after politicians from all of Britain’s major parties called on them to refuse the awards.
Reporting by Matt Scuffham; Editing by Paul Hoskins