Osborne accuses the FSA of "pulling its punches" on bank bonuses

George Osborne has attacked the Financial Services Authority’s new rules on how financial institutions should determine pay and bonuses.

The Shadow Chancellor said the FSA had “pulled its punches, leaving the promises of the Prime Minister and others to curb excessive bonuses absolutely worthless.”

He stressed, “Banks need to be told that the support provided by the tax payer is there to rebuild their balance sheets and resume normal lending; it is not there to help with mega payouts to bankers.”

“This failure to act is further evidence of the need to put an institution with the clout and authority of the Bank of England in charge, and that is what a Conservative Government will do.”