European Union finance ministers have agreed that a limit must be set on the amount of bonuses paid to senior managers in the banking sectors. Germany's Deputy Finance Minister Jörg Asmussen says there should be a clear link between bonus and performance.

France and Sweden also want to clamp down on the amount paid to bankers. However, French President Nicolas Sarkozy is so far the only EU leader who has made a detailed proposal on the issue. He will propose caps and taxes on bonuses during the summit of the Group of 20 industrialised and emerging nations to be held in the US city of Pittsburgh starting 24 September.

Dutch Finance Minister Wouter Bos supports President Sarkozy's plan. He says the EU countries will appeal to the US to join them in clamping down on the amount paid to senior bankers during a preparatory meeting which the Group of 20 will hold in London on Friday and Saturday.

British Chancellor of the Exchequer Alistair Darling, who did not attend the Brussels meeting, has so far remained quiet about the proposal.

Dutch Finance Minister Wouter Bos