Investment Association (IA) Principles of Remuneration The IA has this week published its annual letter to Remuneration Committee Chairs as well as its updated Principles of Remuneration (commonly referred to as the “IA Guidelines”). The Principles have been updated to provide additional clarity on the IA’s position on the following areas: pensions: pension contributions for … Read more

EBA launches consultation on revised guidelines on sound remuneration policies

The European Banking Authority (EBA) has launched a public consultation on proposed amendments to its Guidelines on Sound Remuneration Policies (Guidelines). The proposed amendments do not represent a substantive re-write, and instead merely reflect the changes that have been made to the remuneration provisions of the Capital Requirements Directive (CRD5).  In particular, there is greater … Read more

The OTS has published its Claims and Elections review

In this report the Office of Tax Simplification (OTS) looked at ways to simplify the administrative processes for making claims and elections across income tax, corporation tax, capital gains tax and VAT. From an incentives perspective, the main recommendation to note relates to restricted securities elections under section 431 of the Income Tax (Earnings & … Read more

Updated Guidance on directors’ duties

The Chartered Governance Institute has recently published guidance on directors’ duties under the Companies Act 2006 including an additional section on the new section 172 reporting requirement.  Please see our Corporate Notes blog for more information and a link to the guidance. Read more

FCA and PRA consult on remuneration provisions for Banks and Credit Institutions

The FCA and PRA have now both published their Consultation Papers on the implementation of the remuneration provisions of the revised Capital Requirements Directive (referred to as CRD5), which will apply in the UK and the EU from 29 December 2020. As anticipated, both consultations confirm that the FCA and PRA intend for the UK’s … Read more

The High Pay Centre and CIPD annual report on FTSE 100 CEO pay

The 2020 report by High Pay Centre and the Chartered Institute for Personnel and Development has found that the majority of FTSE 100 companies did not cut executive pay during the COVID-19 pandemic and that where companies did make cuts, they were “superficial or short term”. The report notes that the most common measure taken … Read more

Financial Conduct Authority’s letter to Remuneration Committee Chairs

The FCA’s letter to remuneration committee chairs set out the FCA’s findings and observations from the 2019/20 remuneration round and described how it intends to assess remuneration policies and practices throughout 2020/21. The FCA recommend that firms continue to focus on maintaining a healthy organisational culture to drive the right behaviours during the period of … Read more

Capital Gains Tax (CGT) review

The Chancellor of the Exchequer asked the Office of Tax Simplification (OTS) to carry out a review of the CGT regime.  The stated aim of the wide ranging review is for the OTS to provide recommendations for simplification of CGT, including “reducing distortions from both an administrative and technical standpoint”. The Chancellor has said that … Read more