BusinessPeople In BusinessAccounting changes sink share option schemes

Accounting changes sink share option schemes

Share option schemes for executives have been battered by a combination of accounting changes and falling stock markets, according to a leading expert.

Link: Tobacco FD not phased by share-options rule

Carol Arrowsmith, a partner with Deloitte, who is advising Sainsbury on how best to pay its bosses, said the double whammy had created a ‘perfect storm’ that has sunk the use of share options by many companies.

They were incorporated in just one in five new plans last year, down from 60% three years ago, The Guardian reported.

It is thought new accounting changes requiring companies to book the cost of share options in their accounts are a key factor in the fall in popularity of share options.

Related Articles

Women in Finance ranking 2018

People Business Women in Finance ranking 2018

3m Alia Shoaib, Reporter
Shortlist announced for British Accountancy Awards 2017

Accounting Firms Shortlist announced for British Accountancy Awards 2017

9m Emma Smith, Managing Editor
Pimlico Plumbers to take employment case appeal to Supreme Court

Legal Pimlico Plumbers to take employment case appeal to Supreme Court

10m Alia Shoaib, Reporter
HMRC appoints new director generals

HMRC HMRC appoints new director generals

10m Alia Shoaib, Reporter
Submit your entry for the British Accountancy Awards!

People Business Submit your entry for the British Accountancy Awards!

11m Emma Smith, Managing Editor
BDO appoints two non-executive directors as advisers to leadership team

Accounting Firms BDO appoints two non-executive directors as advisers to leadership team

11m Emma Smith, Managing Editor
Ex-HMRC chief to join ICAS council

HMRC Ex-HMRC chief to join ICAS council

1y Emma Smith, Managing Editor
Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

Consulting Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

1y Stephanie Wix, Writer