Bonuses are not an issue for high street banking - its the investment banking arms that have the massive bonuses

Break the banks up including hiving off the investment banking arms then it becomes irrelevant. If you make the banks smaller they will still try and have investment banking divisions to boost the directors pay. Split the investment banks off and then allow the retail banks to break themselves up to create some more competition. It is the derivatives portfolios of the banks that will drag the nation down. Breaking up the banks will allow each to collapse more manageably but they are basically all still insolvent regardless of what the balance sheet says or Basel III rules on capital says. The last five years have been a systematic raid on savers to prop up the banks balance sheets. The new rules on bail-in's now means that depositors will be hit like in Cyprus. Will your employer be able to pay you when they have 40% of all their bank accounts raided to bail out the bank? All the discussions are skirting around the real issue of bank solvency.

More banks equals more directors to pay.

Yes and no. They will be probably paid a lot less.

Yeah right

Banksters paid less, regardless of how many, never happen in my life time ...