While bankers deliberate over whether to give themselves £7bn in bonuses, the rest of us are faced with pay freezes, rising costs of living and the constant threat of redundancy.
Personally, I think that the £7bn should be lumped into the profit pot then the shareholders would decide how much of the profit is awarded in bonuses, how much is given to the shareholders as dividends and how much is ploughed back into the business, for example to allow further lending to SMEs. In the case of banks with majority share holdings by the Government, the Government would then be free to choose how much to take as a dividend to use towards deficit reduction and how much to use to fund the wider business community. Or show their true colours and decide to give bonuses to their mates in the city.
The government aim to reduce the deficit by £80bn over 5 years, an extra £7bn/year would cover almost half of that target, combined with a share of the banks profits it would be wiped out without all the other “necessary” cuts. The bank’s irresponsible bonus culture got us into this mess, they can get us out.
We are NOT all in this together.