£1m cash bonus for Rose as NatWest recovers
Dame Alison Rose is expected to become the first chief executive of NatWest (RBS) since its 2008 taxpayer bailout to receive an annual cash bonus.
She could be handed almost £1 million, or 85% of her £1.12 million salary, in cash and shares which would be part of an overall remuneration package of £4.7m.
Disclosure of her annual award is expected alongside NatWest’s annual results on Friday and could prompt another backlash over the return of fat cat pay for Britain’s bankers who are benefiting from rising interest rates while the rest of the country copes with the soaring cost of living.
The banks have also come under fire from savers for not passing on interest rate rises and Dame Alison was one of four bank CEOs forced to defend their position at a Treasury Select Committee hearing last week.
A return to paying big bonuses follows a self-imposed ordinance by what was Royal Bank of Scotland which blocked some of its senior figures from taking annual bonuses in the wake of its its rescue by the then Chancellor Alistair Darling.
In the past year the Treasury has reduced its stake below 50% as it steadily returns to full private ownership and, together with an improving balance sheet and trading performance the board feels confident that it can now offer industry-competitive rewards to its senior staff.
Analysts believe the bank will report a sharp rise in pre-tax profits from £3.8 billion in 2021 to £5.1bn.