HBOS executive to get £2.2m bonus

The boss of the retail arm of banking group HBOS is to receive shares worth £2.2m (€3.1m) as part of an incentive plan designed to persuade him to stay with the company, it was confirmed today.

Andy Hornby, aged 38, was offered a long-term bonus in 2002 after receiving an approach to join a retail chain, widely thought to be Boots.

The bank’s annual report confirmed today that Mr Hornby would be granted 260,000 shares in April after beating his target to improve profits at the retail division by 60% over three years. Profits improved by 72% during the period.

A spokesman for HBOS said this level of bonus was modest compared with some of the bank’s rivals, adding that the average bonus received by executives was 64.7% their salary.