LLoyds Banking Group said on Monday that Charlie Nunn, currently head of wealth and personal banking at HSBC, is to be its next chief executive.
Nunn will replace Antonio Horta-Osorio who said in July that he would step down from the helm of Britain's biggest domestic bank next year once a successor was appointed.
Nunn will be tasked with helping Lloyds recover from the economic fallout of the pandemic. Its shares are down 40% this year, though they have rallied 33% since the start of November following news of breakthroughs in the race to find a vaccine against Covid-19.
Nunn will receive a basic annual salary of 1.125 million pounds ($1.50million) and a fixed share award of 1.05 million pounds, in addition to flexible benefit funding of 4% of basic salary, Lloyds said in a statement.
His pension has been set at 15% of salary.
Changes to Nunn's salary and maximum long-term share plan mean his maximum pay will be around 20% lower than that of Horta-Osorio. Incoming chairman Robin Budenberg has also asked for his pay package to be cut by 20%, Lloyds said.
HSBC said in a separate memo that Nuno Matos, currently head of its non-ring-fenced U.K. arm, is to replace Nunn.