Barclays has just posted pre-tax first half profits of £2.98 billion, representing an eight-per cent rise. If results remain on track for the rest of the year and bonuses are paid on the same basis as last year, Barclays Capital will earmark 53 per cent of its income for pay and bonuses and share out £2.2 billion among its staff according to the Times.

This might not be what politicians and the public want but that’s not likely to change things much. In the long term, whatever happens (public outrage, political huffing and puffing, new laws even), financial firms, whether they are investment banks or hedge funds, will work things to pay somewhere around 50% of revenues to staff. This has gone before and will follow afterwards.

The question of how that pay is distributed may see the balance move to higher wages/payment in shares and smaller bonuses but overall it is unlikley to change and where there’s a will there’s a way. You just have to ask yourself who has the greater will politicians or bankers?