FTSE 100 bosses get paid 386 times national living wage, new survey reveals

FTSE 100 CEOs are being paid on average 165 times more than a nurse, 140 times more than a school teacher and 132 times more than a police officer

Sir Martin Sorrell, CEO of advertising giant WPP, is the highest paid of all FTSE 100 bosses taking home over 70m (EPA)

Bosses of the UK’s biggest 100 companies now take home an average of £5.3m each year, which is a staggering 386 times higher than what a worker earning the national living wage pockets, according to new analysis by the Equality Trust.

The survey shows that over two thirds of FTSE 100 CEOs are paid more than 100 times the average UK salary, and ninety per cent of them are paid at least 100 times more than the national living wage.

“The people who educate our children, look after our grandparents, and keep our families safe have seen their pay frozen, while fat cat CEOs continue to gorge themselves on obscene and undeserved rewards,” said Wanda Wyporska, executive director of the Equality Trust, a charity which is dedicated to fighting income inequality in the UK.

The report shows that the CEOs are being paid on average 165 times more than a nurse, 140 times more than a school teacher, 132 times more than a police officer and 312 times more than a care worker, based on hours and earnings data from the Office for National Statistics.

“Being a top company CEO in the UK is like being a lottery winner - every year – guaranteed,” said Ms Wyporska.

Last week, the Institute of Directors, which represents UK business leaders, slammed Rolls-Royce’s decision to award Warren East, its CEO, a bonus of £916,000 even after the aero-engine maker’s full-year earnings plunged.

Last month the Financial Times reported that one in 10 top UK companies are now considering scrapping so-called long-term incentive plans and shifting towards a simpler, share-based bonus system that could reduce the divide between the highly-paid chief executives and other workers.

Earlier this year BlackRock, the world’s largest asset manager, also weighed in on the debate over executive pay, demanding an end to pay packets for top executives that drastically outpace those of ordinary employees.

According to information compiled by the Equality Trust, Sir Martin Sorrell, CEO of advertising giant WPP, is the highest paid of all FTSE 100 bosses taking home over £70m, which is 2,550 times higher than the average UK wage.

Other companies that rank in the top five for CEO compensation are Reckitt Benckiser, Sky, Shire and BP. In light of the data, the Equality Trust said that it had developed a petition calling on the Government to introduce mandatory pay ratios for top earners.

In April, mandatory reporting on the gender pay gap is due to come into effect, which forces companies to disclose what they pay men and women.