EBA reports increase in high earners in the EU in 2024

The European Banking Authority (EBA) published its 2024 Dashboard on high earners. The data indicates an increase in individuals earning more than EUR 1 million in EU banks. The total number of high earners rose to 2,554 in 2024 from 2,343 in 2023.

In credit institutions, the number increased by 7%, from 2,122 in 2023 to 2,266 in 2024. In investment firms, it rose by 30%, from 221 in 2023 to 288 in 2024. This growth is mainly attributed to strong profitability supported by higher interest income and active trading, a rebound in advisory and capital markets, favorable economic conditions including elevated interest rates and renewed M&A activity, and competitive pay adjustments to attract and retain talent.

The weighted average ratio of variable to fixed remuneration for high earners in credit institutions increased to 98%. For investment firms, the average ratio decreased to 359%. The cap on variable-to-fixed remuneration specified in the Capital Requirements Directive (CRD) has not applied to investment firms since 2021.

The report was developed in accordance with Article 75(3) of Directive 2013/36/EU and Article 34(4) of Directive (EU) 2019/2034, which require the EBA to collect data on high earners, including remuneration components and business areas involved.

The EBA will continue to monitor remuneration practices in the EU. Future reviews aim to simplify data collection, adjust reporting frequencies, and improve data quality to enable earlier publication of benchmarking reports.