THANKS, WHALE

EU Mulls Cap on Banker Bonuses

Blow to London in particular.

It’s only a few years too late, Europe. The European Union leaders on Thursday struck up a provisional deal to cap bankers’ bonuses at the level of their annual salaries starting the next year. Many in Europe have blamed the financial meltdown on bankers’ inclination toward risks, although not everyone in Europe was happy to hear about the plan. One country in particular that is not pleased is Britain, which hosts the EU’s biggest banking center in the City of London—and many fear these rules will restrict growth and drive away talent. British Prime Minister David Cameron said Thursday that the EU should concentrate on other bank restrictions.