State-owned RBS loses £5.2BILLION but will still pay out £607million in bankers' bonuses as Downing Street defies fury to hail signs of 'restraint and responsibility'
Downing Street today risked reigniting public anger over bankers' pay after insisting state-owned RBS had shown 'responsibility and restraint' by paying bonuses of more than £600million. The Royal Bank of Scotland announced it would award the huge sums despite making a loss of £5.16billion last year. RBS has made a loss for five consecutive years, ever since it was largely taken into public ownership in 2008 during the global economic crisis. The revelation that it would nonetheless reward staff with 'bloated bonuses' worth millions was described as 'astounding', with the bank accused of 'turning a blind eye' to wrongdoing over scandals such as rate-fixing and the mis-selling of insurance. But David Cameron's official spokesman defended the bonus payments. 'Bonuses are very significantly down on where they were in 2010,' he told journalists at a Westminster briefing. 'We are seeing real responsibility and restraint,...