£2.8m bonus for M&S chief

Marks & Spencer today revealed outgoing boss Stuart Rose landed a bumper £2.8m (€3.4m) bonus for returning the group to annual profits growth.

M&S paid out the maximum possible under the profit-related element of its annual bonus plan after delivering a 4.6% rise in profits to £632.5m (€768m) for the year to March – a marked turnaround on the 40% fall the previous year.

And Rose stands to receive a potential £2.5m (€3m) bonus in cash before he leaves next March, according to the group’s annual report.

He is currently working on a three-month handover with new chief executive Marc Bolland, after which time Sir Stuart will step down to become non-executive chairman.

M&S pay policies have already come under the spotlight this year after the group recruited Mr Bolland on a pay package worth up to £15m (€18m).

Staff in the wider business also received bonuses for their part in the better performance, with an £81m (€98m) bonus pot shared out among employees, including 50,000 store staff.

But despite the profits growth last year, results are still a long way from the £1bn (€1.21bn) seen in the year to March 2008 after suffering a tough recession.