RBS chief makes charity pledge as bank awards £3.3m in shares to bosses
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Royal Bank of Scotland has handed out more than £3.3 million in shares to its top ten executives.
The awards pay out over the next five years, but chief executive Ross McEwan has already pledged to give his to charity.
However, he has retained 50,451 shares, worth about £171,500, to replace awards that he gave up after leaving Commonwealth Bank of Australia in 2012.
In total, Mr McEwan received more than £500,000 of shares as part of an allowance the bank gives to senior managers.
He also sold a portion of them to meet the tax liabilities associated with the award.
That means Mr McEwan is planning to hand over more than £260,000 of shares to charity.
The role-based shares incentive was brought in by many banks as a way to top up salaries of senior staff and circumvent European rules limiting bonuses.
In February, New Zealand-born McEwan confirmed that he did not intend to benefit from his 2015 fixed share allowance.
“In light of this commitment”, the still more than 70 per cent state-owned bank said, “he will transfer the net of tax shares retained to charity when they are released over the course of the five year retention period”.
Last week’s sale of 5.4 per cent of RBS raised £2.1 billion and cut the taxpayer’s stake.
A stock market announcement yesterday showed other RBS executives received awards of about £2.8 million.
Chris Marks and Mark Bailie, joint chief executives of RBS’s Capital Resolution Group, both received 140,243 shares which are worth more than £480,000.
Jonathan Pain, group head of conduct and regulatory affairs, and human resources director Elaine Arden received smaller awards which were still worth in the region of £140,000.
The number of shares delivered, the number of Shares sold to meet associated tax liabilities and the number of Shares retained by each RBS boss is as follows:
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