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Reckitt Benckiser boss Rakesh Kapoor saw pay nearly double to £23m last year

Published 04/04/2016

Rakesh Kapoor took the helm in 2011 (Reckitt Benckiser/PA)
Rakesh Kapoor took the helm in 2011 (Reckitt Benckiser/PA)

The boss of Cillit Bang owner Reckitt Benckiser saw his pay almost double to £23 million last year, as the firm's shares have soared.

Chief executive Rakesh Kapoor saw his pay jump from £12.8 million, after a long-term incentive payout from the Nurofen-to-Vanish group.

Mr Kapoor saw his stock-related payouts more than double to £18.2 million compared with the year before, after the share price of the business lifted by more than 80% over the last four years.

The Slough-based firm said: "Our performance-linked remuneration package is underpinned by a meaningful share ownership policy, which drives a culture of ownership throughout the company."

The average annual pay for a FTSE 100 chief executive is about £5 million, according to research body the High Pay Centre.

However, the pay of Mr Kapoor, who took the helm in 2011, lags behind chief executive of the advertising group WPP, Sir Martin Sorrell, who was given a deal worth £63 million last year as a result of a share award.

It also trails behind his long-serving predecessor Bart Becht, who earned £92 million in 2009.

However, Reckitt Benckiser, which makes products ranging from Dettol to Durex, is regarded as one of the best-run consumer goods firms in the world.

It defied the gloom among many consumer goods firms as it posted strong full-year profits in February.

The group said like-for-like sales rose by 6% in the year to the end of December, pushing pre-tax profits up 4% to £2.2 billion compared with a year ago.

It said growth was driven by a strong flu season at the beginning of the year, and by ''outstanding'' sales from key brands such as Scholl, Durex and Strepsils.

It also saw strong performances in India and China, which have been areas of slowing growth for many international companies.

The firm also said at the time it was on track to hit savings of £150 million over three years, and it had already "achieved a significant portion of those savings within the first year".

The group's economy drive, launched last year, sees Mr Kapoor fly economy on flights under six hours.

However, Reckitt Benckiser shareholders have previously voted against payouts to Mr Kapoor, with 42% failing to back the director's remuneration report in 2014.

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