RBS chairman: 'Bankers' salaries are too high'

The chairman of Royal Bank of Scotland has admitted that bankers' salaries are too high and need to come down.

But Sir Philip Hampton defended the decision to pay a near £1m bonus to the bank's Chief Executive Stephen Hester, a bonus he eventually turned down.

Sir Philip did say RBS underestimated what the reaction would be to the proposed payout.

He has been speaking to the BBC's Business Editor Robert Peston.