Chambers won’t scrap bankers’ pay cap [Video]

Newly-appointed Finance Minister Jack Chambers has firmly ruled out scrapping the €20,000 cap on bankers’ bonuses, write Christian McCashin and Aisling Moloney.

Chambers said: “Removing the salary cap isn’t something I’m considering presently. It’ll be maintained over the coming period.”

When asked if he was ruling out getting rid of the €500,000 salary cap, Chambers said: “I have no intention to remove the salary cap over the coming period.”

His announcement came as another 5% of the AIB shares owned by the State since the bank bailout were sold on Thursday, netting almost €600m for the Exchequer.

Banks have long complained the salary cap is hampering recruitment of senior staff for top roles in an industry that competes globally for top talent. The cap was brought in after the financial crash when the government introduced limits on bankers’ pay.

The restrictions, introduced in 2009 and targeted only at the bailed-out Irish banks, consisted of a …