If there is one flashpoint in relations between investment banks and governments – and one reason bankers remain unpopular – it is pay.
The fact that banks that were given official support to avoid collapse in the 2007-08 crisis, but then proceeded to pay large bonuses to employees, caused widespread resentment.
The phenomenon was particularly pronounced in 2009, when low interest rates and a reduction in competition allowed banks to benefit from a benign trading environment.
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