BOE’s Carney Opposes a “crude bonus cap”

Bank of England governor Mark Carney said on Wednesday he opposed both the idea of a “crude bonus cap” and of reducing retail banks’ market share, dealing a blow to Ed Miliband’s proposals to shake up the banking sector.

The Labour Party leader will announce on Friday that a Labour government would ask U.K. competition authorities to investigate whether high street banks are abusing their dominant positions. He has also called on the government to veto bonuses of up to twice the salary of bankers at state-owned Royal Bank of Scotland.

But the comments by Mr Carney testifying at a parliamentary committee threatened to undermine Mr Miliband’s latest policy initiative even before its details were formally announced.


This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.