Defeat looms over UK challenge on bank bonus cap
Chancellor George Osborne's challenge to Europe's cap on banker bonuses looks set to be rejected by the EU Court of Justice.
The cap restricts bonuses to 100% of banker's pay or 200% with shareholder approval.
Advocate General Niilo Jääskinen gave an opinion that the EU legislation limiting the ratio was valid.
The cap on the ratio is designed to reduce incentives for bankers to take excessive risks but critics say it will push up basic pay and banks' costs.
Chris Morris reports.
20 Nov 2014
- From the section Business