Shareholders revolt against Berkeley Group's pay

Helen Cahill
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The payout was one of the largest in UK corporate history (Source: Getty)

Berkeley Group’s shareholders kicked out at the housebuilder today over its executive pay package.

Sixteen per cent of investors voted against the company’s pay at the annual general meeting.

The vote comes after shareholder advisory groups recommended a vote against the payout.

The company handed executives £92m in long-term share bonuses; chairman Tony Pidgley received £29.2m and chief executive Rob Perrins was rewarded with £28m.

Read more: A row is already brewing over Theresa May's new executive pay reforms

In February, Berkeley Group’s management decided to cap future executive pay. Over the next seven years, executives will earn a maximum of £150m.

The £92m payout was a reward for executives after they beat targets over a 10-year period.

The developer also said today profits this year will be similar to the previous financial year, but warned that the London market is under pressure from Brexit uncertainty and tax changes.

New construction starts in London were down 30 per cent, the firm said.

Berkeley said: “The London market continues to be adversely impacted by both uncertainty around the terms and implications of Brexit and the changes in recent years to SDLT [stamp duty land tax] and mortgage interest deductibility.”

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