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RBS to lose Stephen Hester

Posted at June 12, 2013 | Categories : News

Stephen Hester will be stepping down as Royal Bank of Scotland’s (RBS) ¬†group chief executive later this year, after five years at the helm of the taxpayer-owned bank.

Since his appointment in 2008, Mr Hester has led the rescue of RBS, its recovery plan and one of the largest and most complex company restructurings ever seen.

Summing up the progress made so far, he said: “We have reduced the bank’s balance sheet by nearly a trillion pounds, repaid hundreds of billions of taxpayer support, and removed the imminent threat that this bank’s size and complexity posed to the UK economy. All the while we supported 30 million customers every day to help them manage their finances.”

In line with his contractual arrangements, Mr Hester will receive payment in lieu of notice of £1.6 million representing 12 months pay and benefits. However, he will not receive a bonus for 2013, which is also in line with contract terms.