RBS chief executive Stephen Hester made an important contribution to Britain's recovery from the financial crisis, Treasury Minister Sajid Javid said today.
Mr Javid told the House of Commons that RBS could now be prepared for a return to the private sector, adding it would have a far greater focus on it retail operation within the UK.
He said Mr Hester, who yesterday announced that he was stepping down as chief executive, would receive a final package of only one third of what he could have received under the contract drawn up by the last government.
Mr Javid said that when Stephen Hester took over the bank was on the edge of collapse and posed a huge risk to financial stability.
"It had been bailed out by the British taxpayer at a cost of over #45 billion. Stephen Hester brought it back from the brink and since then he has worked hard to make RBS a safer and a stronger bank, better able to support its customers."
"Stephen Hester has made an important contribution to Britain's recovery from the financial crisis."
ITN's Deputy Political Editor Chris Ship explains why Stephen Hester's time ran out at RBS.
The man in charge of steering RBS back into private hands - retrieving £45bn of taxpayers cash in the process - is to leave the bank.
RBS chief executive Stephen Hester has announced he is to leave the taxpayer owned bank. But was he forced out or did he jump.