Anger as bank salaries soar

CRITICISM was aimed at bankers' pay again yesterday after new figures revealed that the average basic salary for investment banking staff in the City has risen by 20 per cent over the past year.

As political pressure mounts on City firms to curb their end-of-year bonus packages, many companies have sought to offset this by increasing their basic remuneration.

A survey by financial services recruitment company Astbury Marsden said average base salaries for back, middle and front office level staff across all investment banks had increased from 81,250 last year to 97,500.

Despite public anger at large pay deals for City staff in the wake of the credit crisis, many top performers remain in line for lucrative payouts at the end of the year.

A survey this week by recruitment firm Ambition said UK accountants were set for higher bonuses, while HSBC and Barclays banks said they had to keep competitive salaries to hold on to top staff.

Unite's national officer for finance, Rob MacGregor, said: "Here we go again - this news demonstrates that nothing has really changed for the spivs and speculators who ruined the UK economy in such a spectacular and greedy style.

"Any moderation in bonuses is more than off-set by these bumper pay packets which go to the very people engaged in the grotesque and shameful casino capitalism of the past decade.

"Meanwhile, ordinary bank and finance workers - average full-time salary of 14,000-a-year - are enduring pay freezes and major job cuts.

"Before the election George Osborne and Vince Cable - the engine drivers of the coalition's financial and business policies - talked tough. But now in government, they meekly bow down to the implacable arrogance of the banking elite."