Earnings per share must rise 12%
M&S is understood to have tightened the terms of its bonus scheme for chief executive Stuart Rose, as well as other top executives at the high street giant, following pressure from shareholders.

After meetings with shareholder lobby group the Association of British Insurers (ABI), the retailer has reportedly increased its earnings-per-share targets, which decide the level of performance-related payouts for Rose and other directors.

The ABI agreed upon a big cash and shares pay-out for Rose, worth about£7.8 million this year, but has said to be eligible for the same amount next year, earnings per share must rise by 12 per cent above inflation. M&S has requested a rise of 10 per cent.

Changes to the bonus scheme are also understood to apply to finance director Ian Dyson and marketing director Steven Sharp.