The Advisors' Blog

We’ve blogged a bit on this site about the transatlantic pay gap, which many have argued has been a competitive advantage for U.S.-based businesses and a disadvantage for companies across the pond. This ISS-Corporate press release suggests that this gap is narrowing. Its 2026 U.K. Proxy Season Review report (available for download), which analyzed compensation trends at FTSE 100 companies, found that a “growing number” of companies reviewed and revised their approach to CEO compensation following the publication of the Investment Association’s revised Principles of Remuneration in late 2024.

FTSE 100 companies proposed revamping their CEO compensation plans at an accelerated rate in the 2026 proxy season, suggesting that more boards are reassessing pay structures as they seek to remain competitive in an increasingly contested market for executive talent. In PY2025*, 40 FTSE 100 companies sought shareholder approval for a new remuneration policy, up 53.8 percent from the previous year. Notably, 16 of these companies proposed a new policy before their existing policy had reached the end of its three-year cycle. The trend continued in PY 2026 when 49 companies proposed a new remuneration policy, with 15 of them doing so before their current frameworks expired.

The report found that the pay increases were predominantly in long-term incentives. Like in the U.S., shareholder support remained high despite the increased pay levels, though there were signs of growing scrutiny.

– Meredith Ervine