EasyJet pay row to reach climax

Sir Stelios Haji-Ioannou, who founded the airline in 1995 and still speaks for 37.4% of shares, will urge other investors to vote down a plan that could award 10 executives shares worth £8 million over the next three years.

His cause ahead of Thursday's annual meeting in Luton gained momentum when Pensions Investment Research Consultants (Pirc) advised its members to vote down the remuneration report, citing concerns over the level of complexity surrounding incentive arrangements and an "inadequacy of disclosure".

Pirc also seemed to suggest that Sir Stelios' ongoing feud with the board was partly responsible for high levels of pay. It added: "Executive pay is an inappropriate tool to mitigate the risk associated with having an active, controlling shareholder."

The body advises investors with about £1.5 trillion in assets but it is not known how many of easyJet's shares are owned by its members. The report needs 50% of shareholders' votes to be passed.

The support of Pirc came as welcome news to Sir Stelios after his campaign was dealt a blow when the company's three biggest institutional shareholders - Standard Life, Sanderson Asset Management and M&G, whose holdings account for 17.5% of the airline's shares - said they would approve the pay plans.

Meanwhile, two of the UK's biggest housebuilders will reveal more strong trading over recent weeks as next month's deadline for the end of a stamp duty holiday creates a rush of first time buyers.

Redrow and Barratt Developments are both expected to say that the spring selling season has been buoyant as new buyers rush to take advantage of an amnesty that ends on March 24 for homes worth between £125,000 and £250,000.

Redrow will say on Thursday that its turnaround has continued in recent weeks after it overhauled its range under the leadership of Steve Morgan, who three years ago returned to the company he founded in 1974 after it posted its worst ever set of results.

Barratt has also focused on building more family homes in the affluent South East, helping its average selling prices increase 4% to £200,000 in the six months to December 31. It is expected to say on Wednesday that its operating profits increased 40% to £61 million as it benefits from buying cheaper land after the recession.

The Press Association