Govt forces pay transparency but not bonus tax on banks

In the deal hammered out between ministers and the City, banks will increase lending including £76bn to small firms, and improve transparency around staff pay. HSBC, Barclays, Royal Bank of Scotland (RBS) and Lloyds Banking Group have signed up to Project Merlin, while Santander has agreed to the lending parts of the agreement. The Bank of England will monitor whether loans targets were being met. Under the deal, the aggregate 2010 bonus pool of the four banks UK-based staff will be lower than in 2009, the Treasury says, though it does not say by how much. However, Chancellor...