Insurers appear as greedy as bankers after £3.6m share deal

The Telegraph has emphasised the size of CII president and new Friends Provident boss Trevor Matthews’ pay and relocation package claiming he could earn £3.6m in shares over five years and had his home purchased as part of the deal.

The story makes insurers out to be as greedy as bankers.

Friends Provident paid:

  • a relocation company the difference between what it paid Matthews for his house and the price it was then able to sell it for
  • a £369,758 bill for the stamp duty on his new house in London and "other associated moving costs", such as his removal firm costs
  • £263,199 to compensate for share bonuses Matthews gave up when he left Standard Life
  • a salary, bonuses and benefits package of £1.18m. His annual salary equates to £720,000, plus a car allowance of £15,120.

Under the company's annual bonus scheme, Matthews can receive a maximum payment of 125pc over his salary, the Telegraph said. He needs to meet targets to turn the company around over the next five years to get £3.6m worth of shares.