Budget 2010: Banking staff incentives to be investigated

Staff incentives in the banking sector are to come under the spotlight under proposals outlined in today’s Budget.

The government is to ask industry body the Retail Financial Services Forum (RFSF) to investigate to what extent financial services firms’ staff targets and incentives led to poor outcomes for consumers and employees, and how they can be reformed.

The RFSF is to set up a working group to engage with banks, mutuals, consumer groups, employees and trade unions on the topic, and has been asked to report its findings to the Chancellor in time for the next pre-Budget report.

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