Is there any specific requirement to have a separate Remuneration Committee Report in the Annual Report and Accounts? Historically we have done this but this year we are intending to just include this information as part of the main Directors’ Remuneration Report without referring to it as “Remuneration Committee Report” or “Remuneration Committee Overview”. What is viewed as best practice regarding this?
We have a 31/3 year end and have included the Remuneration Committee Report within the DRR. We adopted the new form of DRR this year and included this disclosure under a heading of “Committee role and membership” at the start of the Implementation section of the DRR.
We are a 31/12 year end and looked into the same point. Juggling between the Listing Rules, UK Corporate Governance Code and The Large and Medium-sized Companies and Groups (Accounts & reports) Regs 2008 – there is no requirement at present to issue a separate RC report. However, a lot of the design agencies we spoke to do encourage it and looking at other companies examples many are issuing reports of the Audit, Nomination and Remuneration Committees and putting in pictures of the chairperson of said committee – but these mainly state what the committee does or has achieved. We decided not to change our format this year and did the standard DRR and will review again when the new Directors’ Remuneration Report Regulations (The Large and Medium-sized Companies and Groups (Accounts and Reports) (Amendment) Regulations 2013. These are expected to come into effect for accounting periods commencing on or after 1.10.2013, but early adoption encouraged. This does talk about an annual statement from the chair of the committee. This is a good summary of the new regs: http://sites.herbertsmithfreehills.vuturevx.com/43/5178/june-2013/reform-of-directors–remuneration–further-draft-regulations-circulated-by-bis.asp?intEmailHistoryId=2702123&intExternalSystemId=1