Banks set to unveil further losses
Left reeling from Libor rigging revelations and an ever increasing bill for mis-selling claims, results from RBS and Lloyds are likely to confirm a lengthy road to recovery ahead for the part-nationalised players.
Barclays has already set the scene with its results earlier this month detailing another £2.5 billion to cover the costs of mis-selling in 2012, which came on top of its £290 million settlement for Libor fixing.
Fresh from agreeing its own settlement for the Libor scandal, RBS is the first to report annual figures next Thursday.
The remaining bonus haul is likely to be much less than the £785 million paid out for 2011, which included £390 million for investment banking staff.
Chief executive Stephen Hester said last year he would waive his annual bonus following the bank's IT meltdown, but he is in line for around £780,000 in shares next month as part of a reward scheme for his performance in 2010, which can be cashed in 12 months later.
Lloyds, which follows with its results on Friday, is facing rumours over its branch sale amid doubts the deal with The Co-operative will succeed in time.
Bonuses will also be in sharp focus for the group, which is 39% owned by the Government, after reports suggested chief executive Antonio Horta-Osorio could be in line for as much as £4.4 million.
It is thought the bank may be seeking to defuse a looming row over pay by holding back the award until shares are above the average price paid by the State under the bank's 2008 bailout. With shares at just under 56p, they are still well below the average price of 74p, or around 64p when fees paid by Lloyds to the Treasury are taken into account.
© 2013 Press Association