Halifax-born Burberry chief receives shares worth £10m

Christopher Bailey, Chief Creative Director of Burberry Ltd.
Picture Bruce Rollinson
Christopher Bailey, Chief Creative Director of Burberry Ltd. Picture Bruce Rollinson

Christopher Bailey, the Halifax-born chief designer and outgoing CEO of Burberry, will receive shares worth over £10m next month.

It is up to Mr Bailey whether he decides to cash in 600,000 shares he was awarded back in 2013.

At the time he was given a one-off retention reward granted before he took over as CEO. This was at a time when a number of big players were trying to poach him. Mr Bailey will become president of the luxury fashion firm next month when Marco Gobbetti takes over as CEO.

Burberry’s latest annual report shows that Mr Bailey was paid £3.5m last year.

He waived his entitlement to an annual bonus for the year but his pay was boosted by a £1.4m award of shares in 2014. Burberry is introducing changes to pay deals in an attempt to avoid another shareholder revolt and maximum bonuses will be capped at 200 per cent of salary, down from 225 per cent.

Last month Burberry said it was too early to say whether it will go ahead with its planned state-of-the art flagship manufacturing and weaving facility in Leeds, saying that it needs to consider the Brexit impact.

When asked whether the plans could be scrapped, Julie Brown, chief finance officer of Burberry, told The Yorkshire Post: “It’s a very important decision for Burberry. It’s too early to say.

“Clearly, we have had a number of management transitions and we have a new CEO starting in July. It’s a big decision for Burberry. We are considering the implications for Brexit.”

She added that the group is committed to its operations in the region.

“We are very committed to Yorkshire. We have excellent facilities already there,” she said.