David Cameron to tackle “grossly excessive top pay awards”

The Prime Minister has announced that he plans to target the rich in an attempt to create a fairer economy.

Cameron is looking to promote a fairer society by cracking down on extortionate pay at a time when the economy is struggling.

The aim is to create legislation that will give shareholders an effective veto over pay deals that they don’t agree with.

Cameron says: “Let’s empower the shareholders by having a straight, shareholder vote on top pay packages. The market for top people isn’t working; it needs to be sorted out.”

Vince Cable, Business Secretary, will publish the results of a consultation on the issue later this month. As well as giving shareholders binding votes on remuneration reports, other options to reduce high pay include ensuring a wider group of stakeholders and forcing companies to publish pay ratios between those at the top and those at the bottom.

Cameron continues: “We need to redefine the word ‘fair’. We need to try to five people a sense that we have a vision at the end of this, of a fairer, better economy, a fairer, better society, where if you work hard and do the right thing you get rewarded.”