Barclays chief gets 40% pay rise

Barclays chief executive Matt Barrett has won a 40per cent pay rise with a new contract that should see his cash payments this year top £3.2 million.

Under the terms of the oneyear contract, which started in January, the 57-year-old will see his basic salary rise from £850,000 to £1.1 million. He is also in line for a £1.1 million performance bonus and a £990,000 contribution to his external pension scheme.

The latest deal is a reward for Mr Barrett taking the bank's share price close to record highs, but may anger banking unions. Since joining Barclays, Mr Barrett has overseen the takeover of the Woolwich but also axed hundreds of branches as part of a cost-cutting drive.