This week Liberal Democrat MEPs in the European Parliament voted to introduce a cap on bankers’ bonuses. This is a move that will help usher in a much-needed change in culture.
The UK government has taken action to reduce bonus payments at those banks which were bailed out at the height of the economic crisis.
The bank levy that the Liberal Democrats helped to introduce will raise more in every year of this parliament than Labour’s one off tax on bonus payments.
But for too long, top bankers have ignored calls for restraint and continued to award themselves obscenely large bonuses.
Last month the Royal Bank of Scotland paid out a shocking £679 million in bonuses despite racking up a loss of £5.1bn this year.
Meanwhile the chief executive of Lloyds was awarded a £1.5 million bonus while his bank posted a loss of £570 million.
Tory MEPs either abstained or voted against the proposal to cut bonuses, preferring to side with their old boys’ network of fat cats and donors in the City.
UKIP MEPs voted with the Conservatives in what some consider a betrayal of ordinary working families.
Labour were responsible for the failure of regulation that helped cause the credit crunch.
The Conservatives cannot be trusted to act against vested interests and build a fairer society.
The Liberal Democrats have delivered a £600 tax cut for people on low and middle incomes and are working to ensure that the wealthiest in society pay their fair share in tax.
We are working to fix the banks, protect depositors and change the bonus culture across the banking sector.
A new cap on EU bank bonuses will be another step in the right direction.
George Lyon MEP