Threat of shareholder revolt at Severn Trent over execs’ exit payouts

Severn Trent is heading for a clash with shareholders at its annual general meeting on Wednesday over the size of payouts to outgoing executives.

Voting advisory firm Pirc told shareholders to reject the remuneration report, which allows termination payments to executives of up to 175 per cent of salary.

Pirc wants this to be limited to 100 per cent, a policy Severn Trent said it would adopt for future executives.

Severn Trent Group made profits before tax of £156.7 million in the last financial year, down 38 per cent.