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Bonus season promises greater fortunes for City workers this year, after British and US banks scrapped EU bonus caps – but how will your bonuses be measured?
With mergers and acquisitions activity on the rise, some UK-based bankers and lawyers are excited about their expected salaries and bonuses for this year and beyond. However, increased payout ratios may come at the cost of lower base salaries, further concentrating bonuses in the hands of top dealmakers.
For the fourth year in a row, the Financial Times is asking readers confidentially to share their predictions about the bonuses; How they have noticed a change in pay policies and whether they plan to invest, save or spend any cash they receive.
FT Bonus Survey 2025
Our questionnaire can be completed anonymously in less than five minutes Click here. Or visit FT.com/com. bonussurvey
This year's results are expected to be the first year in which the bonus cap changes are fully reflected in the pay packages of top earners. Despite the cap being removed in 2023, British-based banks have taken some time to fully review and implement their pay policies, presenting a mixed landscape.
While European banks in London still have to cap bonuses at twice their base salary, Barclays and JP Morgan have decided to give so-called material risk takers Up to 10 times Their salaries are fixed, while Goldman Sachs chose to reduce the base pay, but increase the bonus ratio to 25 times.
The legal profession is expected to be another big winner this bonus season, as the arrival of major US law firms in the capital will disrupt the market, fueling… Pay wars for talent.
Readers will be able to tell us anonymously how any changes will impact their personal salary expectations, as well as changing the competitive dynamics of the wider recruitment market.
The survey also gives readers the opportunity to say how Labour's first budget has affected their financial planning, from an account Pay VAT on school fees How to propose Inheritance tax changes Make retirement saving less attractive.
last year The Financial Times remuneration study revealed that many well-paid professionals were being squeezed by a combination of lower payments and higher interest rates.
Surveyed by nearly 3,000 FT readers, 58 per cent said their bonuses had fallen or stabilized compared to the previous year, and there was a sharp jump (64 per cent) in the numbers of people who said they intended to use their bonuses to reduce their mortgage. Debts. However, half of survey respondents still intend to invest the bulk of any bonuses paid tax efficiently.
Changes to the maximum bonuses for bankers were underway at the time of last year's survey, but four in five FT readers said they preferred safety to glory, preferring a high base salary and limited bonus, rather than a low base salary and limited bonus. Unlimited bonus.
The results of the anonymous survey will be collected and published in the coming weeks. Please ensure you get your answer back to us by the deadline of Monday 10 February, and direct any inquiries to our usual email address, money@ft.com.
