Compensation for UK-based chief executives at FTSE 100 companies is experiencing a significant increase, with the median salary reaching a record £4.6 million ($6.2 million) in 2025, a 6.8% rise. This sustained growth, marking the third consecutive year of record pay, is narrowing the historical pay gap with US peers, potentially mitigating a key incentive for UK firms to pursue US listings and helping to stem the recent exodus of companies from London.
A significant trend is emerging in UK executive compensation, with the median pay for FTSE 100 CEOs rising 6.8% to a record £4.6 million in 2025, marking the third consecutive year of record-setting increases. This sustained growth is critically narrowing the long-standing compensation gap with US-based peers. The primary implication of this development is its potential to mitigate a key incentive for UK-domiciled companies to pursue US listings, a phenomenon that has been described as an 'exodus' from London. By making UK compensation more competitive, London may enhance its ability to retain its largest and most successful firms, a factor that could bolster the long-term stability and attractiveness of the UK's public markets.
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