@walkinginsunshinekat Sorry maybe I misunderstood. Yes, we all globally paid for the GFC. A lot of people were also massively overleveraged particularly in the US, as a result of very poor regulation that allowed the market to spiral like it did, and to create tranches of debt etc. It also turned governments into the underwriters of private businesses, which only accelerated with the Covid situation, and that will continue. As a result, we can indeed expect governments (i.e. taxpayers) to take a much greater interest in business activities they're basically insuring. There is an interesting research paper I went to the talk on suggesting that central banks will be increasingly toothless, as they cannot raise interest rates all that much before governments have to step in to prevent mass bankruptcies and the political fallout from them (I'm a trading process expert, not a banker, so I struggled to fully understand how we don't still run out of taxpayer money).
Perhaps I didn't explain the bonus issue well. Before the bonus cap, bankers usually earned 200%+ of their salary in bonuses on top. Actually getting that bonus relied on closing an IPO, delisting, merger etc. on the FTSE. Now, they cannot earn more than 100% of their base pay in bonuses. The effect is that mediocre bankers show up from NY, earn 400k basic plus 300k bonus (let's say) for showing up and doing a mediocre job. BUT with the cap removed, they're down to 200k basic and potentially about 100k bonus because they cannot close any deals in a shrinking market. My heart doesn't exactly bleed, but it's a worry for the public purse.
All the deal-making is leaving London. We have a hugely undiversified economy with a huge tax take (both corp, stamp duty and individual taxes) from financial services, and yet we've utterly fucked it over during Brexit by not even bothering with passporting rules. That fucks us all over. Removing the cap may incentivise more US banks to move dealmakers to London, as it reduces fixed costs compared to the EU. Still doesn't solve the fact we keep losing tech IPOs to other markets, but gives some hope of more tax to support public services.