Key facts
- James Sherwin-Smith is campaigning for a seat on Nationwide's board, citing governance improvements.
- Sherwin-Smith alleges a senior Nationwide executive offered him a role elsewhere to withdraw his candidacy.
- Nationwide denies any offer was made to Mr. Sherwin-Smith in exchange for dropping his campaign.
- United Utilities CEO Louise Beardmore received a £435,000 allowance in lieu of a bonus.
- Severn Trent doubled the maximum long-term share award for its new CEO to 400% of salary.
Nationwide's advertising slogan 'Proud to be different' is being challenged by its treatment of a customer, James Sherwin-Smith, who is seeking election to its board. Sherwin-Smith argues his candidacy would improve governance and accountability, particularly amid scrutiny of CEO Dame Debbie Crosbie's pay package. He claims a senior Nationwide executive offered him a boardroom role elsewhere if he dropped his campaign, an allegation Nationwide denies, stating no offer was made in return for withdrawing. Sherwin-Smith contends that Nationwide's actions undermine its claims of being fundamentally different from big banks.
Separately, water companies United Utilities and Severn Trent are facing criticism over executive remuneration. United Utilities CEO Louise Beardmore received a £435,000 allowance in lieu of a bonus, which is not subject to regulatory rules but faces public opinion. Severn Trent doubled the maximum long-term share award for its new CEO, James Jesic, from 200% to 400% of salary, citing regulatory complexity and the need to attract talent. These decisions come at a time when the water industry is already facing reputational challenges, including Thames Water's financial instability and leadership issues at South East Water.
In political news, Chancellor Rachel Reeves is expected to deliver a farewell speech at the annual Mansion House dinner. Some City figures question the timing of the event, given the potential for Reeves to lose her Cabinet post. Her aides have reportedly been lobbying for her to remain Chancellor, and her upcoming speech is seen by some as a vanity exercise.