Royal Bank of Scotland and Barclays are set to join Lloyds Banking Group and review review their bonus awards in light of the payment protection insurance scandal, in the first serious test of post-crisis ‘clawback’ provisions.

PPI schemes were designed to cover loan repayments in the event of sickness or redundancy but many were sold to people who did not need them or could not benefit from them. Last month, the High Court ruled that banks should go back over all sales to examine if customers had been miss-sold PPI.