Lloyds Bank CEO suffers investor wrath over pay
Antonio Horta-Osorio faced a backlash from shareholders
Rebellion against fat cat pay came back to haunt the banks today after more than a third of voting shareholders in Lloyds Bank opposed the pay packet for its chief executive.
Earlier attempts by the bank to mollify shareholder discontent over Antonio Horta-Osorio’s remuneration saw his annual reward reduced from a maximum £9.8 million to £7m.
But that wasn’t enough to satisfy 36.18% of those investors eligible to vote who opposed his package at today’s annual general meeting.
Shareholder advisory firm ISS recommended shareholders reject Lloyds’ pay policy ahead of the AGM.
The vote, which was done virtually because of the current restrictions on attending AGMs, followed an instruction to all the banks from the Bank of England in March to rein in their executive pay policies to ensure they were sufficiently well capitalised to handle any fall-out from the coronavirus crisis.
The government is also concerned that big pay-outs to executives at a time when the Treasury is providing the banks with taxpayer-backed loans would cause a new public outcry.