The Financial Conduct Authority (FCA) and the Bank of England Prudential Regulation Authority (PRA) released new rules that will affect the bonuses of bankers, senior managers and risk managers. If regulators uncover unethical activity or misconduct, chief executives and chairmen will run the risk of having their bonuses for up to 10 years clawed back.
“This is a crucial step to rebuild public trust in financial services, and allows firms and regulators to build long term decision making and effective risk management into people’s pay packets,” said Martin Wheatley, CEO, FCA.
