Finance officials wavered over lifting BoI pay cap before final call

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Drafts of banking report also urged shelving bank levy over five years, but this was removed from final version

The review team, led by John Palmer, a principal officer at the department, was looking as of November 1st at retaining the executive pay cap for BoI, according to the documents, even though the Government had sold its final shares in the lender in September.

This prompted an intervention by Des Carville, head of division in charge of taxpayers’ stakes in the banks, who argued in an email to colleagues on November 10th that the BoI cap should be removed.“It goes without saying that I think the 500k cap should be removed for BoI as we are no longer a shareholder in that bank,” Mr Carville wrote at the time. The report was subsequently tweaked to include a recommendation that salary restrictions be abolished at BoI.

 

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