It will be introduced for debate by Tory MP Archie Norman and has been given a boost after Trade & Industry secretary Patricia Hewitt, yesterday, agreed to look at proposals to amend the Companies Act.
According to the Times Hewitt believes executives being rewarded for failure is unacceptable and she is open to any ideas that will stop this.
The news will be a major boost to the growing anti-fat cat lobby, which has campaigned hard against such payments.
In June this year Vodafone chief executive Sir Christopher Gent caused particurlar outrage when he received £1.5m in share awards and stock options despite hefty losses at the company.
The biggest payoff to date has been that given to Klaus Esser, former head of German telecoms group Mannesmann, who received over £9.1m – just before the company was taken over by Vodaphone. Sir Peter Bonfield, of BT, received a payoff worth £820,000.
Does Darwin's theory apply to taxation? Colin ponders...
The EC has been instructed to draft a European Union (EU) directive authorising an EU financial transaction tax, which would apply to ten of the EU’s 28 member states
Accountancy watchdog the FRC has dropped its investigation into the former chief financial officer of Tesco, nearly two years after the supermarket was engulfed in an accounting scandal
Colin imagines how Apple's logo might change in the wake of the EC's ruling over its Irish tax arrangements