According to BBC reports, Goodwin has already taken a lump sum of £2.7 million and will receive payments each year of £342,500 instead of the previous arrangement of £703,000.
It is understood Fred ‘the shred' Goodwin's pension pot now stands at approximately £9 million, compared with £16.6 million reported in October 2008.
Royal Bank of Scotland and the Government are said to be satisfied with the new arrangement.
RBS's Sir Fred Goodwin agrees to reduce his pension
Sir Fred Goodwin, former chief executive of the Royal Bank of Scotland, has agreed to reduce his pension by 200,000 per year.
