Extract from IDS Executive Compensation Review 324

Non-executive director fees in the FTSE mid-250

Following on from last month’s coverage of non-executive director (NED) fee levels in the FTSE 100 we continue our comprehensive review of the FTSE 350 by looking at the rates paid by mid-250 firms. Drawing on the data published in annual accounts the article provides a breakdown of mid-250 fee rates for non-executive chairmen, committee chairs as well as standard NED fees.

Covering some 972 NED roles, analysis shows that while mid-250 NEDs may be paid less than their FTSE 100 counterparts, the smaller companies are under just as much pressure to increase fee levels in response to greater workloads and corporate governance demands. Consequently, there has been substantial upward pressure on how much mid-250 companies pay non-executives, though viewed in relation to the FTSE 100, the increase in mid-250 NED rates are keeping pace. Tables in the article provide detailed analysis of the range of fee levels for FTSE mid-250 NEDs, committee rates, and non-executive fee levels by named company.