Ashtead to implement new remuneration policy

Equipment rental specialist Ashtead Group said it would implement its remuneration policy, after failing to receive further feedback during a shareholder consultation.

The FTSE 100 firm, which trades as Sunbelt Rentals, announced a new three-year remuneration policy in the summer, which could see chief executive Brendan Horgan paid up to around $14m.

Proxy advisors ISS and Glass Lewis urged shareholders to vote against the policy, which they called "excessive". Horgan, a US resident, was paid a total of $7.26m last year.

Despite the firms’ reservations, however, the resolution was passed at the annual general meeting earlier this month.

At the time, Ashtead defended the plan, saying it was both market competitive and allowed it to "motivate and retain its talented leadership team".

It also acknowledged "the full range" of feedback it had received about the policy, however, and pledged to consult further with shareholders about its implementation.

But on Thursday it said it would go ahead with the plans as proposed at the AGM.

It said: "Following closure of the consultation and given the absence of new feedback from investors who did not support the resolutions, the policy and long-term incentive plan will now be implemented on the terms approved by shareholders at the AGM.

"The company will continue to engage shareholders and proxy agencies on these and other remuneration."