Bank staff are in the money!

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Six thousand Lloyds Banking staff in Halifax and their colleague around the country can look forward to a bumper pay package.

Despite again recording a loss before tax the average bonus pot will be £3,900.

Results published today show Lloyds achieved a much improved performance but was hampered by money set aside for mis-selling claims which included £1.5 billion for payment protection insurance.

The group reported a loss before tax of £570 million against a £3.542 billion loss in 2011.

Its underlying profit increased to £2.607 billion from £638 million in 2011.

The bank made progress on cost reductions.

Chief executive António Horta-Osório was awarded a bonus of £1,485,000 deferred in shares for five years subject to conditions and if those are not met the award will be forfeited.

And, the bank said given the conditions the expected value of the award is £750,000.

The bonus pool for staff has been set at £365 million which is 3 per cent less than 2011 and averages out at £3,900 per employee.

Those awards are limited to an immediate cash bonus of £2,000 with the remainder subject to deferral and performance.

Group chairman Sir Winifried Bischoff said: “We believe our employees should be rewarded for their contribution to the further strengthening of the business in 2012.

“Antonio has led the Group through a strong year that has put us ahead in the implementation of our strategic plan.

“I belive this, in part, is a reason for the Group being the best performing stock in the FTSE 100 in 2012.”