AIB chief suggests pay czar to set banker salaries

A PAY czar should be appointed by the Government to set banker salaries and financial incentives should be created to attract new blood to the troubled industry, according to the head of Allied Irish Bank.

Rates of interest for customer’s deposits should also be capped as Irish banks are already paying over the odds in a competitive market, argued the bank’s executive chairman David Hodgkinson.

Speaking at the MacGill Summer School in Donegal, the bank chief said a new code for banks and their responsibilities would also help the sector.