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RBS boss turns down bonus

THE chairman of the British-taxpayer-funded Royal Bank of Scotland (RBS) will not receive a shares bonus worth £1.4m (€1.6m), the bank said yesterday.

Philip Hampton's decision comes days after RBS chief executive Stephen Hester came under fire over a £963,000 (€1.1m) bonus.

An RBS spokesman said: "Philip Hampton will not receive the 5.17 million shares he was awarded in 2009 when he joined RBS."

Mr Hamilton is thought to have told the bank's remuneration committee it would not be appropriate for him to take the shares to which he is entitled.

He was given the scheme when he was appointed at the 83 per cent state-owned bank as part of a three-year long-term incentive deal.

It is understood RBS were not due to offer him the bonus until next month, but the chairman chose to waive the entitlement earlier.

Mr Hamilton's decision is likely to pile more pressure on Mr Hester, who has faced calls from unions, politicians and the public to turn down his own award.

UK Prime Minister David Cameron insisted it was up to the chief executive to decide whether to give up his bonus.

"It's a matter for him," he said at Chequers.

"It's obviously his decision. My decision is to make sure the team at RBS get on with the job of turning the bank round, and we made our views very clear on the bonus and that's why it was cut in half compared to last year."

Sunday Independent