From The BBC:
Alistair Darling: “We are going to enter an era where people are not being rewarded for reckless behaviour”
Finance ministers from the world’s most powerful economies have agreed a series of measures to try to regulate the global banking system.They want a system that rewards long-term performance rather than short-term risk-taking. However the G20 meeting in London did not agree on specific limits on the amounts individual bankers get paid. Britain, the US and Canada opposed the idea, but the Financial Stability Board is to examine the issue. It will report back to the summit of G20 leaders in Pittsburgh, Pennsylvania later this month.
The G20 countries agreed on measures requiring banks to disclose the pay and bonuses of their highest-paid employees and to allow bonuses to be “clawed back” if decisions which seemed successful later go wrong. The FSB has also been asked to look at the desirability of new rules which woul…