Bank boss pay hits £2 million following flotation

CLYDESDALE Bank chief executive David Duffy saw his pay packet grow to more than £2 million in his first full year at the bank.

Mr Duffy, who joined the group in June 2015, led Clydesdale and Yorkshire Banking Group to a £1.6 billion flotation in February as the challenger bank demerged from the National Australian Bank.

He was paid a £1m salary, with benefits and allowances bringing his fixed income to £1.25m. In addition he was awarded a bonus of £800,000.

In the previous year, he was awarded a pro-rata salary of £950,000, in addition to a £450,000 bonus and £500,000 golden hello, by way of shares to be vested over three years.

Mr Duffy also received 768,560 shares as part of a demerger long-term incentive plan, which will vest in September 2018.

In its annual report, Adrian Grace, chairman of the remuneration committee, said the executive team had “demonstrated good progress in delivering against the key performance measures set by the committee”.

As a result of this performance, the executive team of Mr Duffy; chief financial officer Ian Smith; and chief operating officer Debbie Crosbie, received a bonus of 80 per cent of salary.

Mr Smith, who joined the bank in March 2015 and therefore also had a pro-rata salary in the previous year, received a total pay packet of £925,000 – including a £460,000 salary and £368,000 bonus.

Ms Crosbie was paid £921,000, including a £450,000 salary and £360,000 bonus, a reduction from last year as a result of a smaller bonus.