The Financial Services Authority has not launched a single enforcement action against any regulated business for failing to comply with its remuneration code since the rules were introduced three years ago.
Err, if everyone is obeying the law then there don’t need to be any enforcement actions, do there?
The code was designed to cut the size and number of joining payments made to new staff by banks. However, a senior City lawyer said many had found loopholes. “Banks are doing all sorts of things to get around the code. The fact that no firm has been brought to book tells you everything you need to know about how worried they are about being caught,” said the lawyer.
Could just be that what they’re doing is legal.