Former RBS boss 'will not give up pension'

Former Royal Bank of Scotland boss Fred Goodwin has written to the Treasury indicating he will not voluntarily give up his pension, it was revealed tonight.

Goodwin is coming under increasing pressure to give up at least part of the pension, worth an estimated £693,000 (€778,040) a year, which he is already receiving at the age of 50 under an early retirement deal agreed with the RBS board when he was forced out last October.

UK prime minister Gordon Brown today said the Government was looking at legal action to claw back the money, insisting that there should be “no reward for failure”.

But Treasury sources this evening revealed that Fred has written to City minister Lord Myners to say that he is not ready to waive his entitlement.