Summary
Business leaders and financiers yesterday hit back at Peter Hain's call for City firms to donate two-thirds of their bonus pots to charity or inner-city regeneration. The Secretary of State for Wales claimed massive bonuses - which this Christmas totalled pounds 8.8bn - were fuelling envy and social discontent. And he warned that City firms could face government legislation or tax hikes to reduce inequality if they do not act themselves to curb excessive payouts. However, his remarks in an interview with the Sunday Telegraph drew criticism from business leaders and City financiers, who warned that London's hard-won reputation as a leading global financial services location would be jeopardised if people were forced to give up bonuses. And they added that in a global marketplace top talent would simply move overseas - eroding the credibility and wealth generation of the City of London. Director of CBI Wales, David Rosser, said, 'It's hard to see what justification politicians could have for stepping between an employer and an employee on issues of salary.
'It has nothing to do with politicians who can choose, if they wish, to introduce punitive tax rates if they think people are earning too much.See the full content of this document
Extract
Storm in the City As Hain Attacks Pounds 8.8bn Bonuses
'However, they would then reap the consequences of the fact that we live in a globalised world and that the best people are free to go and work wherever they wish.'
One of Wales' leading figures in the City of London, Brecon-bo...See the full content of this document
Sponsored links
