Paul Grant, Accountancy Age, Thursday 2 September 2010 at 10:13:00

Former chancellor says 50% bonus tax failed to change behavior, withfinanciers finding ways around the rules


Former chancellor Alistair Darling has admitted that the tax on bankers?bonuses he introduced failed as City financiers devised ?imaginative? ways towork around the rules.

Speaking at a financial services conference, Darling said the tax wasunlikely to be reinstated by the current government as ?the very people you areafter here are very good at getting out of these sorts fo things? reports theFinancial Times.

The 50% tax on bonuses over 25,000 had also failed to change the behavior ofthe industry over pay, he admitted.