EU rules state bonuses must be limited to one year's pay but this could be doubled with shareholder approval, something RBS is seeking according to a report in the FT. Head of Equities at Hargreaves Lansdown, Richard Hunter says the story is making headlines for political rather than investment reasons. And following strong results from H&M and Burberry, the clear retail winners over Christmas, as with supermakets, were those at either end of the spectrum.

Labour has called on the government, RBS' biggest shareholder, to reject the proposal. A bumper Christmas for British luxury brand Burberry have brought in revenues of GBP528 million in the three months to December 31, that is up 14% on the year before, beating analyst forecasts. But the 158-year-old setter of raincoats and leather goods warning it may have to weather some significant currency headwinds in its second half. Nothing hampering H&M either. The Swedish budget fashion retailer says its sales rose 10% over the festive period in line with market expectations.

SHOWS: LONDON, ENGLAND, UK (REUTERS - ACCESS ALL) (JANUARY 15, 2014)

1. HARGREAVES LANSDOWN, HEAD OF EQUITIES, RICHARD HUNTER, SAYING:

JOURNALIST ASKING RICHARD HUNTER: 'This bonus story, RBS, is there anything more than a political hot potato?'

RICHARD HUNTER: 'I don't think it is in terms of the investment case, I think it's got limited impact. I mean clearly, one of the things that is slightly hamstrung RBS and to a lesser extent, Lloyds as well, has been the government interference in the way their business is run. Obviously, this particular conversation isn't going to extend to the likes of Barclays, HSBC, and so on. So I think it's more political than investment that are the reasons that it's hitting the headlines.'

JOURNALIST: 'Alright. Let's talk about H&M and Burberry and the other retailers as well. I know we've got Dixons and Home Retail out tomorrow. These look good, these numbers. I've got to say though it set against that context of slightly weaker Christmas period for a number of the retailers.'

RICHARD HUNTER: 'Well it's interesting, isn't it? The clear winners over the Christmas period in retailing in the wider sense have tended to be those who've really concentrated on their online offering or those that are either end of the price spectrum. There's an interesting comparison here, of course, with the supermarkets. We've had the likes of Aldi and Lidl at the bottom end of the pricing range and the likes of Waitrose at the top end being particularly successful supermarkets over the period, leaving the middle players something in their wake. And we're seeing in terms of fashion retailing, as we've seen again today. The likes of Burberry, H&M doing very well and perhaps some of the mid-market players such as Marks & Spencer for example, have not done so well. Of course, in terms of Burberry, they've got the additional benefit of having this exposure to the emerging middle classes in the likes of China and India well set - as you've rightly said, while that's going to relate in some currency headwinds, nonetheless, it's a fast-growing area for them.'

JOURNALIST: ' Alright. Let's finish out with the house builders. Barratt yesterday looked great in the UK, clearly riding this UK story. Taylor Wimpey bullish on 2014. Do you like these as investments?'

RICHARD HUNTER: 'Well we often say of course, that the FTSE 250 where these two stocks live, is more of a barometer for the UK economy. Obviously, we saw a good inflation number yesterday as well. And even though the likes of Barratt Development, for example, the share price is up over 60% in the last year, it's still a country mile from its historic highs. And whilst the government initiatives remain in place, Barratt continues to benefit from the cheap land purchases it's been making over the last four years now obviously selling at a considerable margin. There could well be a lot more left in the tank for the UK house builders.'

JOURNALIST: 'You don't think stocks are getting a little expensive?'

RICHARD HUNTER: 'No. I think if we look at their current earnings, as I say in their previous historic highs, they really are making hay while sun shines. And of course, the likes of Barratt got a particular presence in London and the Southeast where the property market is thriving.'