Unions have expressed their anger at the news that departing directors at the Financial Services Authority have seen their pensions soar while staff have had to take pay cuts to top up final salary schemes.

Chairman Sir Howard Davies will leave with £952,000 in September, having overseen the pension fund deficit rising from £34 million to £102 million.

Keith Brookes of the Unifi finance union said the news was rubbing "salt in the wounds" of hard-working staff.