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The Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008

The Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008 Sch 8 para 19E

Sch 8 para 19E Additional requirements in respect of the pay ratios table

The directors’ remuneration report must set out the following information after the pay ratios table— (a) an explanation of why the company chose Option A, B or C as the preferred method for calculating the pay ratio for the relevant financial year, (b) if the company was required to report pay ratio information in the preceding financial year, and the company then used a different option to determine Y25, Y50 and Y75, an explanation for the change, (c) the day by reference to which the company determined Y25, Y50 and Y75, (d) where the company has used Option B— (i) a brief explanation of how the best equivalents are reasonably representative of P25, P50 and P75, and (ii) whether, and if so how, it has relied on the use of estimates or adjustments, (e) where the company has used Option C— (i) the methodology used for estimating the best equivalents, describing any estimates, adjustments, or material assumptions, and (ii) a brief explanation of how the best equivalents are reasonably representative of P25, P50 and P75, (f) where the company has omitted any component from pay and benefits in reliance on paragraph 19D(6)(b), the component omitted and the reason for the omission, and if the company omitted any component in the previous financial year, whether the company has continued to omit that component, (g) where the company has used a different methodology from that set out in paragraph 10 to calculate a component of pay and benefits, a description of the different methodology and why the methodology in paragraph 10 was not used, (h) a brief explanation of any assumptions or statistical modelling used to determine full-time equivalent remuneration.

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