NatWest will pay its boss an annual cash bonus of close to £1mln as rising interest rates improve the bank's performance, according to reports today.
Alison Rose will receive £953,700 in annual bonuses, said the reports, the first time NatWest has paid its CEO a bonus since the government rescued it from collapse in 2008.
The bonus will add 85% on top of Rose’s £1.12mln salary, which with other awards could see her total remuneration hit £4.7mln.
Bonuses will be paid in both cash and shares and be confirmed in the bank’s annual results this Friday.
Analysts expect NatWest to report underlying profits of £5.1bln for the year, up from £3.8bn in 2021.
NatWest was rescued by a £45.5bln government bailout during the 2008 financial crisis in which the government took majority control, suspending the CEO and finance chief’s annual bonuses.
However, in March last year, the lender ended 14 years of government ownership since when the board proposed the reintroduction of corporate bonuses.
The UK taxpayer stake in the bank has now reduced to 46%.
NatWest shares currently trade at £3.04, up 12% in the year to date.