The chief executive of Barclays, CS Venkatakrishnan, is facing criticism for advocating a cap on wage increases for public sector workers while his own pay and benefits surged to £10.5 million last year, more than doubling from the previous year. The Trades Union Congress (TUC) condemned Venkatakrishnan’s remarks as insensitive, especially as his own compensation package jumped by 127% to over £10.5 million, including bonuses exceeding £7 million on top of a £3 million salary.
TUC’s general secretary, Paul Nowak, described Venkatakrishnan’s stance as tone-deaf, highlighting the importance of fair wages for essential public sector workers such as nurses, teachers, and paramedics. Meanwhile, Rachel Harrison, National Secretary of GMB, criticized the CEO’s actions as hypocritical, emphasizing the vital role played by public sector workers in the country’s infrastructure.
Luke Hildyard, director of the High Pay Centre, pointed out the irony of a multi-millionaire executive like Venkatakrishnan advocating against pay rises for public sector workers, suggesting that taxing the wealthy more effectively could provide the necessary funds for fair wages. Venkatakrishnan, who assumed the role of Barclays’ group chief executive in November 2021, has received over £20 million in pay, bonuses, and perks since his appointment.
In a recent interview, Venkatakrishnan urged the government to address wage inflation, particularly in the public sector, and cautioned against imposing additional taxes on banks. He argued that UK banks already face higher tax burdens compared to other financial centers and expressed hope that tax hikes would be avoided in the upcoming Budget announcement.
Critics have proposed a windfall tax on major British banks, including the Big Four, as a means to generate significant revenue for the Treasury. Former Chancellor Jeremy Hunt reduced bank surcharges in the recent autumn statement, but advocacy groups like Positive Money are pushing for higher surcharges to increase tax revenue from major banks, potentially raising billions for public finances.