TUC blast as pensions for bosses soar

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TUC blast as pensions for bosses soar

TUC blast as pensions for bosses soar
Senior bosses enjoy “platinum-plated” pensions worth 25 times more than the average worker’s £10,452 annual payout, according to the TUC’s PensionsWatch survey.
Daily Mirror, p. 12

FTSE 100 directors enjoy big boost to pension pot
The average pension pot for a FTSE 100 director rose by £400,000 last year to £4.73m, according to the Trades Union Congress’s annual Pensions-Watch survey.
This abstract from the Financial Times was produced by Kantar Media
Financial Times, p. 4

AVERAGE pension pots for […]
The TUC have said that average pension pots for FTSE 100 company bosses have risen to £4.73m. The average retirement fund for an exec rose by £400,000 last year. One amassed a pot of £22.2million. Bosses’ average accrued pension is now £259,947 a year.
The Sun, p. 44

Former Co-op boss in row over bank bid warning claims
Neville Richardson, the Ex-chief executive of the Cooperative Bank has claimed he warned the bank of “disaster” if it tried to buy 632 Lloyds branches in the middle of other major projects to shake up how the lender worked, but was ignored by the board. Richardson ran the Britannia Building Society before its illfated merger with Co-op. He denied its loanbook hampered the tie-up.
City AM London, p. 1

Utilities firms to roll out mobile payments via bank app Zapp
Major utilities firms will this month announce plans for consumers to pay bills using new mobile app Zapp, City A.M. understands, in a new drive to consolidate a fragmented industry. Zapp, set up by bank-owned payment infrastructure firm Vocalink, is designed to make payments to and from all banks and building societies.
City AM London, p. 6

Banks’ £500,000 compensation bill for just 10 interest rate swaps
The Financial Conduct Authority (FCA) revealed yesterday that Britain’s biggest banks have paid compensation on just 10 cases of interest rate swap mis-selling so far.
City AM London, p. 5

Shadow MPC against a change in rates in first vote after guidance
In the first vote by City A.M’s shadow monetary policy committee (MPC) since the Bank of England’s forward guidance was announced, our panel of economists have voted to hold interest rates.
City AM London, p. 12

Bosses defend big bank firms
Frederic Oudea, the chief executives of Deutsche Bank, Societe Generale and Unicredit have defended the need for large banks even as global regulators seek to force lenders with large balance sheets to shrink.
City AM London, p. 13

Banks under fire for slow settlements
Banks have paid out £500,000 of the £3billion set aside to compensate small firms that were mis-sold complex financial products, Financial Conduct Authority said yesterday.
Daily Express, p. 50

Warnings were ignored, says ex-Co-op chief
The former head of the Co-operative Bank claims he repeatedly warned against plans to buy 632 Lloyds bank branches. Neville Richardson told a Parliamentary Treasury Committee yesterday that he stepped down in July 2011 when his warnings were ignored by the Co-operative Group.
Daily Express, p. 51

Banks still to pay up in mis-selling firms row
Last night bank bosses were criticised for abandoning small firms caught up in a mis-selling scandal that left many facing bankruptcy. More than a year after banks were shown to be guilty of a systematic exploitation of thousands of small firms, none have received a penny in compensation. Of the 30,169 caught up in the scandal, just 154 have been offered compensation – and only ten of those have accepted.
Daily Mail, p. 8

Bank fury at Co-op’s black hole ‘excuses’
Neville Richardson the former boss of Co-op Bank incurred the full wrath of the Bank of England after he blamed regulators for the lender’s woes. Giving evidence to the Treasury select committee, Richardson sought to absolve himself of all blame for problems at the Co-op, which has tapped bondholders to help plug a £1.5bn capital shortfall.
Daily Mail, p. 65

CO-OP CHIEFS ‘DID NOT HEED WARNING’
Former Co-operative Bank chief Neville Richardson claims bosses ignored warnings that a bid for Lloyds branches would be “disastrous”. He says he told those in charge, including Co-op Group chief Peter Marks, the £750million deal would overstretch the mutual.
Daily Mirror, p. 58

Banks drag heels on compo
Banks have paid compensation to just 10 firms mis-sold risky investments – out of an estimated £2.5billion bill. Figures from industry regulator the Financial Conduct Authority reveal banks have shelled out only £500,000 so far to companies flogged interest rate swap products.
Daily Mirror, p. 58

Timetable is set for Barclays’ cash call
The countdown to Barclays’ £6 billion rights issue continues. The bank announced that shareholders who are on its register at the close of business on September 13 will be eligible to buy the new shares.
Evening Standard London, p. 40

Anger over slow mis-selling payouts
Banks have paid out £500,000 to small businesses that were mis-sold interest rate swaps since the regulator ordered them to review 30,000 cases four months ago.
Evening Standard London, p. 41

Rajan makes liberalisation of banking system his priority
Focus on the the first day in the job of Raghuram Rajan, at the Reserve Bank of India, which has been eagerly awaited by investors anticipating what monetary steps he will take to rescue the rupee.
This abstract from the Financial Times was produced by Kantar Media
Financial Times, p. 6

India’s central bank governor enters office with ‘big bang’
On his first day at the helm, India’s new central bank chief Raghuram Rajan, has launched a big package of financial sector reforms as the country battles a currency crisis and slowdown in growth.
This abstract from the Financial Times was produced by Kantar Media
Financial Times, p. 6

Regulator in row over Co-¬op bad loans
A bitter row broke out last night over what triggered a £1.5bn capital hole at the Co-operative Bank after the Prudential Regulation Authority rejected comments made by the lender’s former chief executive.
This abstract from the Financial Times was produced by Kantar Media
Financial Times Companies and Markets, p. 20

China investment: western banks still placing bets beyondbrics, the FT’s emerging markets hub
Focus on the Bank of America Merrill Lynch’s $1. 47bn sale of the last bit of its China Construction Bank stake.
This abstract from the Financial Times was produced by Kantar Media
Financial Times Companies and Markets, p. 29

Eurozone banks bask in summer share rally
The FT analyses what it calls a “summer share rally” in the eurozone banking sector; “banks are muddling through”, according to one expert.
This abstract from the Financial Times was produced by Kantar Media
Financial Times Companies and Markets, p. 28

Investors weigh up legal action over RBS cash call
Standard Life Investments and Legal & General Investment Management have hired litigation firm Quinn Emanuel to look at whether Royal Bank of Scotland misled shareholders over its capital raising.
This abstract from the Financial Times was produced by Kantar Media
Financial Times Companies and Markets, p. 16

Banks pay out to small businesses
Banks have paid out £500,000 to small businesses mis-sold interest-rate swaps since the regulator ordered them to review 30,000 cases four months ago.
Independent i, p. 42

Barclays sets date for shareholders
The countdown to Barclays’ £6bn rights issue continued yesterday with the bank announcing that shareholders who are on its register at the close of business on 13 September will be eligible to buy the new shares.
Independent i, p. 42

Former Co-op Bank chief denies Britannia problems
He flatly denied that sub-prime loans sourced from General Motors, which hastened the demise of Bradford & Bingley, had led to problems at Britannia, arguing instead that Britannia had bought the loans under very different terms and that these had allowed his team to reject any loans which went wrong.
Independent i, p. 40

Two accounts, one big banking crisis at Co-op
So who do you believe? Neville Richardson, the former chief executive of Co-operative Banking Group, who previously ran Britannia Building Society, tagged as the source of its problems following their merger.
Independent i, p. 41

BoE hits out at former chief of Co-op Bank
The Bank of England has publicly dismissed the for me chief executive of the Co-op’s claims that the Co-op’s £1.5bn capital black hole was not caused by the takeover of the Britannia Building Society.
The Daily Telegraph Business, p. 1

Taxpayers deserve to know whether Co-op Bank’s boss is hero or villain
Editorial on the Bank of England’s comments on the former Co-op Bank boss.
The Daily Telegraph Business, p. 2

Only 10 firms have received rate-swap compensation so far
Banks have paid out just £500,000 of a potential £2.5bn compensation bill to businesses mis-sold complex interest rate swap products, more than a year after regulators set up a redress scheme for victims.
The Daily Telegraph Business, p. 10

Former Co-op boss blames board for bank’s failings
Neville Richardson, a former chief executive of the Co-op Bank, yesterday accused regulators at the Bank of England of responsibility for the institution’s current financial problems.
The Guardian, p. 27

Barclays reveals near-£6bn cash call will go ahead … on Friday the 13th
Barclays is to have a near £6bn rights issue next Friday, with shares on offer at a 40% discount.
The Guardian, p. 26

Services recovery puts pressure on Bank to raise rates
Philip Inman analyses the Bank of England’s interest rates decision, which will be made today and is expected to leave interest rates at current levels.
The Guardian, p. 26

Co-op Bank MPs have heard […]
The Guardian’s Nils Pratley offers an analysis of the state of Co-Op Bank, predicting that the Bank of England will attempt “a comprehensive destruction of [Neville] Richardson’s version of events.”
The Guardian, p. 29

Co-op Bank ex-chief in clash with watchdog
Former Co-op Bank chief executive Neville Richardson has denied that its merger with Britannia Building Society caused its financial problems.
The Independent, p. 53

EX CO-OP BANK BOSS BLAMES THE BOARD
Yesterday one of the chiefs behind the disastrous merger of the Co-op and Britannia Building Society launched a robust defence of his actions and told MPs the board was to blame. Neville Richardson was in charge of Britannia when it joined forces with Co-op in 2009 and later became boss of the combined banking group. Losses hit £709million in June, but Mr Richardson said there were signs of trouble when he left the firm in July 2011.
The Sun, p. 44

Services reach a 6yr high
Yesterday Britain’s services sector powered to a six-and-a-half-year high. New orders at businesses from banks to restaurants rose faster last month than at any time since May 1997. It will pile fresh pressure on Bank of England Governor Mark Carney, who has pledged to keep interest rates at all-time lows until 2016. Record surveys from all three main sectors of the UK economy, services, manufacturing and construction, in August show that the economy is returning to good health.
The Sun, p. 44

Banks stall over ‘swap contracts’ compensation
Britain’s banks have settled fewer than one in a hundred complaints about missold interest rate hedging products or swaps despite reviewing thousands of cases in the past 14 months.
The Times, p. 36

‘Someone isn’t telling truth’ – MPs condemn Co-op banker
MPs have condemned former Co-operative Bank head Neville Richardson after he claimed that he had no responsibility for the bank’s £1.5bn collapse.
The Times, p. 35

Bank ‘will protect young generation’
The Bank of England is willing to act as a partypooper to prevent future booms and busts in the financial system, Andrew Haldane, the Bank’s financial stability chief has declared.
The Times, p. 41

Economic boost as services ‘blow the doors off’
The services sector “blew the doors off” the economy in August, with its fastest growth for more than six years, according to economists. The pace of the UK’s economic revival has caught the City by surprise. Forecasters said that GDP could grow by as much as one per cent in the three months to the end of September, meaning that interest rates may have to go up much sooner than the three years Bank of England Governor Mark Carney predicted. Today’s figures followed other strong data for the manufacturing and construction sectors, released earlier this week .
Evening Standard London, p. 2

The above articles appeared on 05/09/13 reproduced with the kind permission of Kantar Media UK. All rights reserved.

Charterbridge Private Financial Planning, Independent Financial Advice, Thornbury, Bristol.