Bank of England says it never supported banker bonus cap, amid calls to scrap it

Buses travel past the Bank of England (BoE) building after the BoE became the first major world's central bank to raise rates since the coronavirus disease (COVID-19) pandemic, London, Britain, December 16, 2021. REUTERS/Toby Melville

LONDON, Sept 15 (Reuters) - The Bank of England (BOE) never supported a cap on bankers' bonuses and thinks there are more effective ways to ensure banks account properly for risks, a spokesperson for the central bank said on Thursday.

The comments from the BOE came after media reports, confirmed by Reuters, that British finance minister Kwasi Kwarteng is seeking to scrap the limit on bonuses in order to boost Britain's competitiveness.

"The Senior Managers Regime, the remuneration rules on deferral, clawback and malus are more effective tools for ensuring bankers take proper account of risks,” a spokesperson for the BOE said.

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Reporting By Huw Jones and Lawrence White; Editing by Jon Boyle

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