By Philip Aldrick and Angela Monaghan Published: 7:16PM BST 04 Sep 2009  Protestors demonstrate in central London ahead of the G20 finance ministers meeting, Photo: AFP  The Chancellor will make his recommendations at the London meeting of G20 finance ministers in an attempt to strike a global agreement on bonuses. His plans go far further than the Financial Services Authority (FSA), which recommends three-year deferrals, but stop short of endorsing French demands for a bonus cap.  Bonuses have thrust their way to the top of the finance ministers' agenda due to mounting evidence that banks are reverting to old habits with multi-million pound deals.  Alongside pay, the UK and US will urge other nations to accept tougher capital and liquidity requirements to prevent a repeat of past excesses. However, in a sign that discussions will not be easy, French finance minister Christine Lagarde yesterday said minor revisions to the current regime should be sufficient.  Mr Darling will be hoping to bridge the difference in policy on City pay with a range of strict new proposals, including:  - five-year deferrals on a portion of all bonuses  - clawbacks if long-term performance plummets  - a ban on all guaranteed bonuses  - clearer disclosure of sums and individuals who receive big pay-outs  He is expected to argue that caps on either individual bonuses or pay pools are "unenforceable" but he wants to go further than the FSA by demanding the rules be made "mandatory", not mere guidelines. The FSA also stopped short of imposing clawbacks and allows banks to pay one-year guaranteed bonuses to attract staff who are on course to hit their targets at their current employer.  The ministers will also debate whether to publish the names of all high-paid bankers alongside their income, not merely the pay bands as recommended in the draft Walker Review. At Royal Bank of Scotland, 200 staff were on bigger packages than chief executive Sir Fred Goodwin.  However, Mr Darling will stress that the UK will not press ahead unilaterally with the measures. If an agreement is not reached, there will be no change to the FSA guidelines.  Angela Knight, chief executive of the British Bankers' Association, expressed concerns. "Many people move jobs more frequently than five years and clawbacks can result in very differential application," she said. "The G20 not only needs to agree a sensible regulatory framework but an implementation timetable. So far, the UK is the only country to have put proper risk and long-term requirements into remuneration."  Other issues on today's G20 agenda include the role and funding of the International Monetary Fund (IMF). There will be pressure on countries to deliver the total $500bn (£306bn) of extra funding for the IMF which was agreed at the London Summit in April.  If all current pledges were honoured, there would still be a shortfall of $13.5bn and the Chancellor is pushing for full delivery in time for the Pittsburgh Summit at the end of this month. The UK is also keen to secure an agreement from other finance ministers that policy measures taken to deal with the crisis will be unwound with a level of co-ordination.  Dominique Strauss-Kahn, managing director of the IMF, said during a speech in Berlin: "I see a real danger that policy makers may jeopardise the recovery by exiting from crisis measures too soon."  He added that the global efforts to reform the financial system were not progressing as quickly as necessary.
Alistair Darling is to call on banks to defer bonuses for five years as the    centre piece of sweeping new proposals on City pay.