FSA freezes its staff payouts

THE FINANCIAL Services Authority (FSA) has frozen pay for its 3,300 staff members for a second year running, chief executive Hector Sants told staff in an email yesterday.

The head of the FSA, whose £458m annual budget is funded by the firms it regulates, said only a handful of “very exceptional” cases will be considered for a raise in 2011.

The watchdog’s performance-related bonus pool, at 15 per cent of total salary payments, is expected to remain in place this year.

The economic climate was blamed for the FSA’s wages freeze in 2010.