RBS defends pay award to CEO of 175% of his salary as 'showing restraint'

The Royal Bank of Scotland has defended the way its top bosses are awarded after some shareholders criticised the lender for not making deeper cuts to pay.

The bank said it was a sector leader when it comes to "showing restraint" over executive pay, as it responded to two investor advisory groups which had urged shareholders to oppose the lender's new pay policy on the grounds that cuts to salaries and bonuses had not gone far enough.