Barclays

Barclays is set to cut bonuses for investment bankers as it looks to keep activist investor Edward Bramson at bay.

The British bank is set to cut bonuses at its investment banking division in a bid to streamline costs, ahead of its upcoming annual meeting.

This will mean that pay will be more closely tied with performance, in light of the divisions underwhelming performance.

The financial institution is also set to adopt a tougher stance on promotions. In 2018, 85 bankers were promoted in Barclays International compared with 74 the year before.

The reported decision comes amid increased pressure from Bramson, who has a 5.5% stake in the bank through his company Sherborne Investors.

This makes Bramson the bank’s third largest investor.

Bramson is seeking a seat on the board, and is also proposing that the bank streamlines its investment unit.

Nevertheless, according to reports, Barclays Chief Executive Jes Staley has opposed the move, remaining committed to maintaining the bank’s investment banking presence.

Barclays’ annual meeting is set to take place on May 2nd.

In its most recent annual results, Barclays reported profits of £3.5 billion, sending shares upwards.

Shares in the bank (LON:BARC) are currently down -2.55% as of 11:01AM (GMT).