The chairman of the Royal Bank of Scotland cannot rule out further multi-million pound bonuses for executives.

Sir Philip Hampton did admit bankers’ pay has been too high for too long.

The RBS boss made the comments after executive Stephen Hester last week waived a £1m bonus after coming under extreme public and political pressure.

On Friday First Minister Alex Salmond responded by claiming that banks partly owned by the taxpayer have to get realistic about bonuses for executives.

The bank has been under increased scrutiny recently after the decision by Mr Hester to waive his annual bonus.

Fred Goodwin, former RBS chief executive, was also recently stripped of the knighthood he received through his work with the bank.