Ex-MEP who called for caps on bonuses, slammed for taking London Stock Exchange job
Former Lib Dem MEP Sharon Bowles has been chastised by Sven Giegold, a German Green, for taking a job at the London Stock Exchange (LSE) after calling for caps on bonuses in the financial industry.
Giegold, who had spearheaded the campaign for a cap on bankers' bonuses, which was introduced last year, used to Twitter to voice his displeasure with her decision. He said the former chairwoman of the Committee on Economic and Monetary Affairs'decision to join the LSE's board of directors "shamed democracy."
He argued that moving from the role of regulating markets that of a non-executive director at the LSE would reflect poorly in the eyes of the public, saying “citizens distrust such revolving doors!”.
Bowles hit back, saying her position would provide “regulatory challenge and work with supervisors.”
.@sven_giegold @Europarl_DE under corporate governance Boards have to provide regulatory challenge and work with supervisors.
— Sharon Bowles (@SharonBowlesUK) August 22, 2014
At the time of her appointment, the LSE said Bowles' "experience and insight will be of great value to the Group as we operate in an increasingly complex and evolving regulatory environment."
This is not the first time Bowles and Giegold have held radically different points of view. Last year, European politicians voted against plans to cap city stock pickers’ bonuses, signalling a major victory for the UK fund management industry.
Bowles said bonus restrictions were a “special case” for the banking sector, and politicians did not want to “undermine” the funds. However, Giegold, who tabled the original amendment, said the outcome of the parliamentary vote was a “black day” for investor protection.