Regulators take aim at bankers' bonuses with clawback powers

In two joint consultation papers the regulators have recommended approval regimes for senior management and changes to the way bonuses are paid.  The proposed 'Senior Managers Regime' would require banks to vet their senior managers regularly for "fitness and propriety", while a related Certification Regime would require the same assessment process for all staff in a position where the decisions they make could "pose harm to the bank or any of its customers". A new set of Conduct Rules, taking the form of brief statements setting out standards of behaviour for banking employees, was a...