JPMorgan, Citi Weigh Ending Fixed Pay Allowance for Key UK Staff

JPMorgan Chase & Co. and Citigroup Inc. are considering cutting some of the fixed pay for their senior UK executives, as the lenders seek to align their compensation structures broadly with Wall Street following local rule changes.

JPMorgan will decide in the coming weeks whether to pare back or scrap fixed allowances for so-called material risk takers, including senior traders, investment bankers and compliance executives, according to a person familiar with the matter. Citigroup is also looking at changing its approach, another person said.

The potential moves follow last year’s regulatory overhaul of banker remuneration rules aimed at boosting the ...