EBA singles out UK fund manager for €33m bonus

The European Banking Authority has pointed out that a UK-based fund manager received a bonus of €33.5m (£29m) on a base salary of €199,000 in its annual report on high earners in financial services covering the 2015 financial year.

The anonymous fund manager was the highest paid individual in the report with a ratio of variable to fixed remuneration of 16,855 per cent.

The most highly paid banker in the UK received €19.4bn, although their base salary was much higher at €11.3m.

Fund managers dominated the highest paid packages with another UK-based individual earning €28.4 with a variable to fixed remuneration ratio of 11,842 per cent, while a third was paid €23.6m on a variable to fixed remuneration of 2,532 per cent.

The UK is also home to the most high earners with 80 per cent of the 5142 people in the EU that make €1m or more. Across the EU, the number of well-paid financial services workers has increased 33 per cent.

Investment bankers made up the bulk of the EU’s high earners, with 2 647, while 715 asset managers across the region earned €1m or more.

The report noted that the average ratio of variable to fixed remuneration is 468 per cent in asset management, despite the maximum ratio of 200 per cent set of in CRD IV, largely due to waivers for the industry in several member states.

In the UK the figure was even higher at 513 per cent.

Asset manager bonuses skewed the average ratio across financial services, which was 147 per cent.

Last year it was reported that M&G Investments fund manager Richard Woolnough took home £32m over two years, prompting parent company Prudential to introduce a cap.