Barclays pays nearly 500 bankers more than £1 million

Barclays paid almost 500 staff more than £1 million last year, prompting criticism that pay is still too high and that banks have not changed their ways since the financial crisis.

Barclays and Lloyds Banking Group also revealed in their annual reports that their chief executives could each earn more than £7 million this year and that both banks were seeking approval from shareholders to pay some staff bonuses of double their fixed pay.

Bonuses have been blamed for contributing to excessive risk-taking that led to the 2008 crisis and the European Union has taken steps to cap them.

Conservative lawmaker Andrew Tyrie, chairman of parliament’s Treasury Select Committee, today slammed the bonuses paid out by UK banks and said authorities may need to step in.

“It is regrettable that a number of banks appear not to have accepted the need for fundamental reform in this year’s bonus round. The new consensus emerging on pay remains seriously flawed. It will now be up to regulators to do the job.”

Barclays provoked fury last month when it paid out £2.4 billion in bonuses for 2013, up 10 per cent on the year despite profits tumbling by a third.

Barclays said 481 staff were paid at least £1 million in 2013, up from 428 the year before. It said 57 per cent of last year’s number were based in the United States and 27 percent - or 130 - were based in Britain.

Barclays CEO Antony Jenkins has said he had to increase bonuses to help to retain staff.

Jenkins was quoted in the Daily Telegraph today saying he feared a “death spiral” where the bank struggled to attract good staff and its brand was damaged.

Barclays said Jenkins could be paid up to £7.2 million this year, down 1.4 million from his maximum pay under his previous pay structure, although more is now guaranteed.

Agencies