Extract from IDS Executive Compensation Review 327

Housing association directors’ remuneration

Housing associations have grown rapidly since the introduction of stock transfers from local authorities in the early 1990s and are now leading providers of social housing. To reflect the growing importance of the sector, three years ago we decided to look at housing association annual accounts to see what they say about their directors’ remuneration, and this article looks at our latest results based on information from nearly 90 accounts.

Our third survey of top pay in housing associations shows that earnings differentials between the highest- and lowest-paid chief executives were notably wide but in part these differentials reflect the structure of the sector which is characterised by relatively small local associations on the one hand and a wave of concentration on the other. Altogether, our findings for this year’s survey are based on directors’ pay information taken from 88 separate housing association annual accounts with financial year-endings of 31 March 2007.

Tables provide detailed analysis on the pay levels for chief executives and HPDs, as well as a similar aggregate breakdown of the pay levels of finance and other directors. Pay levels are also analysed by association size as measured by turnover, by total stock number and by number of employees. A complete picture of the remuneration of chief executives and HPDs is given, which lists pay packages by named organisations.