Barclays investor pay revolt

Barclays has been stung by shareholders after nearly a third of their votes failed to back the bank's bumper pay awards.

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ABI Investment Committee Chairman: 'vote shows investor concern'

Today’s outcome clearly shows the investor concern with the company’s remuneration policy. Investors take executive pay very seriously. Getting it right is an important part of a successful company. All banks face a challenge to improve their investment case by getting a better balance of returns to shareholders, payments to employees and capital retention.

We welcome the Chairman’s promise to engage more closely with shareholders and we will continue to work with the company on improving the investment case.

– Robert Talbut, Chairman of the ABI Investment Committee

Barclays embarrassed by vote over top pay

Almost a third of Barclays shareholders failed to back the bank's bumper pay deals at today's remuneration report.

27% of shareholders voted against Barclays remuneration report today.
27% of shareholders voted against Barclays remuneration report today. Credit: REUTERS/Alessia Pierdomenico/Files

The bank's heated annual meeting revealed that 27% of investors voted against the report, while abstentions on the vote increased that figure to 32%.

24% of voters also failed to back remuneration committee chairman Alison Carnwath.

Chief executive Bob Diamond sparked anger among shareholders when it emerged he would receive £17.7 million in salary, bonus, benefits and vested long-term share awards last year, despite admitting his bank's performance was "unacceptable" in 2011.

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Barclays chairman: We do not 'think about what we can get away with'

by - Former Business Editor

Barclays chairman Marcus Agius has defended Bob Diamond's pay saying he had tough objectives and outperformed them.

Agius said pay is "dynamic and not static" not just for 2011 but also in securing future success.

He said: "We don't sit in a closed room and think about what we can get away with." Agius then apologises for communication of pay, not the amount involved.

Diamond: UK economy should not help any more failed banks

by - Former Business Editor

Bob Diamond has told a Barclays shareholders meeting that the UK economy "neither can nor should" prop up any more failed banks, adding taxpayer money should "never again be put at risk".

Diamond then points to conflicting demands on banks. Politicians want them to take more risk to lend more, shareholders want better returns and regulators want them to take fewer risks. Banks are being pulled in three different directions, he said.

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