The clink of champagne flutes is being the heard in the City once more as bonus season enters full swing to a backdrop of buoyant stock markets and a flurry of takeovers that have boosted banks’ profits.
Some dealmakers are in line for multi-million pound payouts with top investment bankers at Goldman Sachs, JP Morgan and Morgan Stanley pocketing rises of up to 25 per cent after reporting a big bounce in fees.
All three Wall Street giants have a major presence in London. Morgan Stanley employs 4,600 staff, Goldman Sachs 2,600, while JP Morgan has 22,000 staff across the UK.
Bonuses at Lloyds and other leading British banks will be awarded next month when they announce annual results.
Toasting success: The clink of champagne flutes is being the heard in the City
A cap on bankers’ bonuses, introduced by the EU after the financial crisis, was scrapped a year ago to make the UK more attractive for deals. Dealmakers expect another bumper year as Donald Trump loosens fiscal rules and the UK Government pressures regulators to pursue growth.
The Chancellor last week sacked the chairman of the Competition and Markets Authority in a sign she was unhappy with the watchdog’s approach to takeovers.Globally, investment banking revenue jumped 26 per cent to $87billion (£70billion) last year, says data provider Dealogic.
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