RBS bonus row: Cable calls on bankers to follow Stephen Hester example Vince Cable says 'we have got to see more of a sense of perspective' in the banking sector in the aftermath of the Stephen Hester bonus row. Business secretary Vince Cable has become the first cabinet minister to urge other bankers to show the same restraint as Stephen Hester, the RBS chief executive who bowed to pressure from the Labour party and public opinion by dropping his plans to take a £1bn bonus. No 10 repeatedly said on Monday it would not tell the board of RBS to rein in bonuses, saying it was vital that the existing management team at the government-owned bank remained in place and it was not the job of the government to micromanage the company. David Cameron's spokeswoman praised the RBS board for reducing the balance sheet and making order out of the complete mess it had inherited, but claimed that the previous Labour government had left the coalition with contractual obligations allowing the board to pay bonuses linked to performance. Cable suggested other bankers should follow Hester's example: "I think it's a good step to dealing with the bonus culture more generally. I'm not dictating ... but I think he has set a good example. I think that more generally in the banking sector we have got to see more of a sense of perspective. His remarks suggest that, as the bonus season approaches, some coalition cabinet members are likely to criticise the packages of individual bankers, fearing that the government's claims to be cracking down on crony capitalism will look hollow if they do not. Among the next public targets will be Bob Diamond, the chief executive of Barclays who is in line to receive up to £10m, and John Hourican, the head of RBS's troubled investment banking division who has just announced 3,500 job losses. He is due to receive a £4.3m windfall in April. The prime minister had privately suggested that Hester should take a bonus below the headline sensitive £1m figure, but did not feel it was right to press for a bigger cut. There was some frustration in Liberal Democrat circles that the Treasury and UK Financial Investments, which manages the government's shareholding in RBS, told them they had no option but to let Hester receive the payout. Some Lib Dems were told Hester might walk away from the job if too much pressure was applied and this could lead him to suing the government, ending up with the episode becoming even more expensive. A copy of Hester's contract was never made available to Lib Dems. Hester's aides said he decided to forgo his bonus at the weekend rather than become singled out for criticism in a Labour-led debate set for the House of Commons next Tuesday in which he was bound to be vilified. Labour leader Ed Miliband said on Monday he intended to step up the pressure for change in UK boardrooms: "This cannot be a one-off episode. There has to be a change in the culture. We have got to learn the deeper lessons. We have got to have responsibility in the boardroom and that is why I say 'tax the boardroom bonuses and give ordinary workers a say in their boardroom on pay'. Miliband moved to capitalise on the episode by announcing he would table a Commons motion calling on the government to tax bankers' bonuses until bankers start to show restraint. He is urging Conservatives and Lib Dems to back a £2bn banker tax, which Labour says could fund the creation of 100,000 jobs elsewhere. A senior party source said: "This debate is about more than Stephen Hester. It is time for the Conservatives and Lib Dems to show they are serious about tackling the bonus culture by supporting our plan to repeat the bank bonus tax. Miliband accused Cameron of having a tin ear for public opinion and his aides will be delighted that he showed a strong and effective lead on this issue in the same way as he had over the need for an inquiry into News International. His strategy suggests Labour will, at least in the short term, focus on systemic reform rather than target the bonuses of individual bankers or the specific remuneration of the rest of the RBS board. Labour officials said they had not yet seen the details of other bonuses to be announced in the near future. Miliband was praised for his lead by the former City minister Lord Myners, but he warned Labour not to seek scalps or put itself in a position where it is hostile to business. He told Miliband not to allow his campaign to tip over into anti-business sentiment or scalp-hunting.Some senior Labour figures believe popular opinion cannot be assuaged on the issue of bankers bonuses and it may prove necessary for Labour to set out clear principles. The shadow business secretary, Chuka Umunna, described the RBS investment managers as public sector workers and said his party would take a close look at what other RBS star bankers such as Hourican received. Myners said: "At some point, somebody has got to say 'look this has just gone too far'. Royal Bank of Scotland is different from other banks because it's publicly owned. It may be a private company but it's 82% owned by the taxpayer. And this problem will keep coming around year after year until the government has ceased to have a controlling interest. The board of directors can quite simply say 'we can no longer justify these very high rewards for bankers'. It's not as profitable as it used to be, we're slimming the bank down, and therefore we have to be much more realistic in terms of what we pay. I think that should apply across the whole banking sector.