October 20, 2008

Wall St Bankers to get £40 Billion

Despite all of the talk of how the banking industry has been suffering, it seems that the government cash handouts designed to keep the banks afloat in the US, is not really been going in the places that some people think.

It has been estimated that around £40 billion is going to be used pay the staff of the banks, well that would those who have lucky enough to keep their jobs, in fact contrary to the positions that have been laid out with regards to this cash. A large proportion of this money is going to be paid out in bonuses, the very thing that governments have said should not happen.

Naturally, this is the US banking system, but normally what happens there, eventually comes across the sea to our shores, would the UK banks really continue to pay out big bonuses to their staff, time will tell.

Source [Guardian]