£5m Virgin Money boss could beat HSBC chief

VIRGIN Money’s chief executive could see his pay rocket to £5.1 million in 2020, putting him on a par with the highest-paid bank bosses in Britain.

David Duffy will r eceive a £ 1.2 million payment t hat will include his salary, pension and cash benefits, such as a car allowance.

But he could also pick up £3.9 million in bonus and share- based awards if he meets financial targets for the FTSE 250 member. A Virgin Money source said the targets were very difficult to achieve – and that Duffy would have to deliver a share price increase of 50 per cent.

The total would be far more than the £4.6 million paid in 2018 to John Flint, the former boss of global behemoth HSBC, which employs 235,000 staff in 66 countries. HSBC made profits of £15.3 billion in 2018. By contrast, Virgin Money UK has 9,667 staff, operates only in Britain and made a loss of £194 million.

In 2019, Duffy received £3.4 million of a possible £4.2 million. He earned the same amount as Barclays boss Jes Staley.

Virgin Money UK was formed when CYBG t ook over Virgin Money in 2018. The group has rebranded as Virgin and changed its name on the Stock Exchange.

Duffy’s pay triggered a shareholder revolt at the group’s annual investor meeting last year. His 2019 earnings were up 84 per cent on the £1.8 million payout for 2018.

The bank justified large pay rises on the basis that the takeover has increased its size and complexity – and so it must retain its top team.

The best-paid bank boss of 2019 was Santander UK’s Nathan Bostock, who received £6.4 million.