Exactly! Why are these types of over paid arses getting bonuses AT ALL. Even then, they didn’t even do their jobs, and scheming instead. I think it was Finland after the 2008 financial crisis that sent bankers to jail. I don’t know of any other country that did the same.
Didn't Liz Truss remove the cap on bankers bonuses? The greed will only get worse and the Conservatives are very unlikely to ever reinstate that cap any time soon.
@Don Doodat yep and regulations on their bonuses were bought in after that. Regulations which Leadsom has now voted to remove, yet she complains about it here 🤦🏽
Same applies to all the industries that the government have privatised. The executives are raking in huge bonuses despite the complete failure to deliver. Take Royal Mail as an example.
Why has her government lifted the limit on the amount that banks can pay their bankers in bonuses to a level much higher than if we were still a member of the EU?
If they’ve managed to strictly maintain minimum wages and how much teachers, nurses and others get paid, they need to do the same for EVERYONE in the financial sector. NO BONUSES…….PERIOD.
Not even a conservative but you have me defending Leadsom ffs. She's not arguing against the concept of bankers bonuses, she's arguing *failed* bankers shouldn't be rewarded with bonuses.
@@cozimo64 Yeah, of course. All Tories say this. They won't win many plaudits from the peanut gallery by loudly declaring that bankers should get bonuses for merely existing. Yet when pen comes to paper their actions betray them. Leadsom doesn't give a shit about bonuses for poor performance. If she did she wouldn't toe the line to continuously make them both easier to award and less regulated when they are. You're being hoodwinked by political theatre, Comrade.
@@cozimo64 Right, so regulation is a boon. Capping bonuses prevents extortionate bonuses from being doled out while you try and regulate the circumstances in which they can be given. She’s essentially removed the cap while the water’s still pumping, and asking why she’s soaking wet. Also, don’t defend Leadsom. If she stopped-clocks her way into a sensible thought, you can likely trace her logic back to the most selfish and bass ackwards motivation, quite easily.
This comment by Vince Cable, following the previous banking collapse, summed it up for me. He said the banks' M.O. was to "privatise the profits; nationalise the losses."
If Government ministers are concerned about failing banks paying bonuses, maybe they should stop bailing out failing banks with taxpayers funds, and voting through increased bonuses for bankers...
This is applicable to all the national public services that have been privatised. Large publicly listed companies main priorities are to provide value to their shareholders, their real customers. Not the end user
Andrea Leadsom, MP: "In what other sector in the UK, if your Boss fails, if your Business fails, do you then get a bonus." Obvious missed answer: "Rail, Mail, Energy Companies... essentially any formerly nationalised sector..."
It's typical of the richest in society they say they take all the risk and give themselves bonuses for failure, while workers are told they are greedy for wanting pay that matches their productivity and they should be lucky to get a zeros hour contract.
Bang on. Key workers are called greedy for wanting a pay rise with inflation for the first time in 13 years following weekly applause throughout a pandemic but bankers wanting extra money for gross negligence is fine, and we've removed the cap on banker's bonuses as well. Wow, the Tories are just taking us all for idiots now and what evidence do we have to suggest they're wrong? We democratically voted Boris ffs...
Why would the boss of the BoE squirm over bonuses in banks? Leadsom's party is the one which has removed the cap on bonuses, not the BoE. This is all driven by government policy that she has a hand in setting.
her reasoning is circular and idiotic. because we have strong regulations ensuring SVB UK did not become ensnared in the SVB US collapse, and was sold to HSBC UK as a result. the employee' should be penalized for what would have happened if the we did not have the regs. The UK regs also hold banker bonuses for 3 years to ensure if there was a failure that is uncovered the bonuses will not be paid.
In most private companies, when the finances start to dry up, most buisness owners decide to have the pay cut start from the top, and work down. You HAVE to keep the frontliners going so that your company can keep generating money. Dishing out bonuses as the banks run out of (our) money seems like the complete opposite...
That’s not true in the private businesses I’ve had the misfortune to work for. It always starts at the bottom - when frontline staff leave they are replaced by cheaper models; senior management who failed in their roles are often moved up and sometimes out of the local business and into the national or international sector of that private company.
@@Peter-Ac it's a long term process not a day. Corbyn could of set out an alternative direction. He was anti EU all his political life just like his hero Tony Benn. He became leader suddenly flipped flopped and crashed in the Old Labour Leave seats
How can politicians grill bankers. When they are in their pockets. Politicians are all hoping one of their 5 jobs will be in banking. Yet again lots of words no action. Whats more they did not answer the question. Who ever teaches MPS how to lie and avoid, have been teaching theses people. Stop bankers bonuses now.
What? I’d watch it again. The Bank of England reps are setting the rules and enforcing them? The rules apply to all UK banks (not UK branches of international banks - that was the crux of the discussion).
The contempt of the (w)bankers is unbelievable telling the chair which questions they are going to answer and which not. When are supposed select committees going to have consequences.
All of them, in any country, are always the same. They have to be paid lots because of their expertise and because of being on par with other industries so you get the best of the best of the best! BUT if something goes wrong they have no clue why it went wrong anymore then anyone else, didn't see it coming AND still deserve high pay and lots of bonus because actually being paid based on performance and the well being of the company is not something that is applicable to them. And then they get in their company provided limo, to go to the golf club (membership paid by the company) to have a 5 courses meal (tab picked up by the company) and play a few rounds of golf with some mates and doing this all under the guise of working. Where as the stock boy will get fired, and criminally charged with theft, if he should happen to forget to take the company provided pencil out of his pocket before punching out at the end of his shift.
We've hadn't had this discussion yet because as long as there is a Tory government there will be absolutely no need for any accountancy for whatever ...
Bring back capital punishment? Is that what you’re referring to by “length of rope”? Or are you suggesting that they should commit suicide? Probably not very nice either way - are you some kind of gammon faced Tory?
Why would bankers create rules that limit their remuneration? It's up to parliament to legislate on banking regulation. Once again, Leadsom and co are being disingenuous in pretending it's not the result of government (in)action. If Truss had had her way, existing policy would have been loosened further.
Only if tax payer money is involved presumably? In SVB uk - no tax payer money. Which is why Leadsom asked at one point about those who are paying for the bonuses (customers of SVB uk)
The Bank of England are unlikely to be your mortgage lender and they weren’t talking about bonuses for the Bank of England. SVB uk are not mortgage lenders either
AL: "In what other sector in the UK if your boss fails, if your business fails do you then get a bonus?" Answer: Member of Parliament, specifically in government. If you're not returned as an MP you get to sit on numerous corporate boards or be hired in consultancy roles, remunerated at disgusting rates for very little actual work!
Superb pair. Always loved how they portrayed the incredulity of the characters they played, in all their sketches. It's as if they couldn't even imagine things being run differently, and couldn't conceive why anyone has a problem with the status quo. It's funny because it's true.
The problem is not just the bonuses themselves. It's the whole set up - they get paid and incentivised to gamble MORE with monety that isn't theirs. Gamble well, and they get MORE money, lose and they still get the money and we lose.
Leadsom asked about bonuses, how about our gas, electricity, public transport bosses?? How about MP getting a 2nd job and claiming everything left right and centre? Unfortunately, it looks like we are living in a "have" and "have not" world unless people in the UK act similarly to the French then we, normal people, will just going to be milk to the bone until we are too sick to work and die.
Worms. They are worms. Remember when the head of the Bank of England wanted you to volunteer for lower wages to help out the economy? But he's fine with bankers bankrolling on a loss.
There is a lot of this arse tearing going on recently but nobody really being taken to task, fired or jailed. The humiliation is probably worth it compared to their bonus 🎉
It's really not a bonus if it's locked in - how can it be a 'bonus' at all? Well done: firm's failed - here's a big fat reward for that then. Legally all bonus funds should go straight to creditors.
Do they think we are that stupid . The main reason we are all in this position is because we use a Fractional Reserve Banking system , we are all in trouble due to this fact . And I think the answer to her question question should be no it’s not fair . Come on and these people run the banking system . 😳
@@DH-bg1qo If we don’t start challenging things , then we can’t complain when melt downs happen . Do you think these meltdowns happen by chance ? . If you look at past historical crashes they have happened , ALL, no exceptions been due to the Banks themselves . The only other people that do well out of crashes are the already wealthy 1% of our society . Doing nothing is not really an option in my view .
According to these clowns if you crash a bank it might be appropriate to have a bonus. The only conclusion is they think greed is good. Get as much as you can as quick as you can and stuff everyone else. The only lesson from 2008 is the public accepted that they would pay in taxes to bail out the banks so why not take as much as possible from them.
That’s the opposite of what they said. They said if the checks on the deferred bonuses found mistakes/ too much risk / irresponsible carelessness (no doubt these things are defined) the bonuses for SVB uk would not be paid or retained if already paid. And if the bonuses are in stock- worthless anyway
SVB did NOT engage in risky behaviour. They bought GOVERNMENT securities, and then the Fed jacked up interest rates, massively devaluing SVB reserves. Even then, it's not a problem if the Fed bought those treasuries for 100c on the dollar in return for central bank reserves (those treasuries would mature anyway, they're safer than houses!). This was a land grab by the big US banks, using the Fed, to get their hands on SVB assets (regulatory capture). I have no proof of the final point, but it's my strong intuition. They did QE 12 years ago, what's changed? This is not a banking crisis
Surely the bonuses paid to these people increase the likelyhood of them making high risk investment decisions in order to get those bonuses 🤔. Courting disaster as a matter of course leads directly to disaster eventually and they dont care because they never get to face the music, they still get theyre bonuses and the cost is picked up by the government and passed on to the general public to bail out via charges and taxes. Its a legalised criminal get rich enterprise scheme with no penalties at all for those running it 😡.
Question One: Do you enjoy being a self entitled greedy child of unmarried parentage? Question Two: When the banks fail why should the public pay for your mistakes? Question Three: Why do you need bonuses when salaries are already obscenely large?
My first business failed and I had to have it struck off from Companies House. Thankfully I was the only employee, as well as the CEO. Nobody lost money or was impacted in much of any sense. Question: Did I deserve a bonus for ruining a company through inexperience? I got screwed if so.
As Clement Atlee once said about city of london banking ‘over and over again we have seen that there is in this country another power than that which has its seat at Westminster’. This is part of a much wider issue where the elite class syphon money out of the global economy and are rewarded handsomely with bonuses
Watching senior bankers squirm when they've been caught out is gratifying to watch. There's definitely a case for NO bonuses to be paid to the senior bosses of any failing company, especially banks. If anyone in any company in the world makes such a catastrophic blunder that it sinks that company the bosses bear the brunt of the losses. In banking its just another day at the casino. Shameful behaviour, Shameful
A tory MP who held senior places in the government is complaining about excesses in the financial sector - which they have been able to regulate for 13 years!
Bankers like politicians don’t want to answer any questions , bugger up everything for everyone else but they get payed and then get expenses and bonuses ,
