LendInvest chief receives no bonus or pay rise after lender falls into red
LendInvest chief Rod Lockhart received no bonus or pay rise last year and had his performance shares cancelled, amid a challenging year for the property lender as it fell into a £27.3m loss.
According to the firm’s 2024 annual report, for the period ending 31 March 2024, Lockhart’s total remuneration for the year was £418,000, flat on the previous year. This comprised a base salary of £400,000, with the remainder consisting of benefits and pension.
On 1 August 2023, performance shares worth 94 per cent of his salary – £376,000 – were granted to Lockhart. However, following an evaluation, the remuneration committee agreed to cancel this award to help prudently manage expenditure and dilution headroom, the report said.
Remuneration committee chair Stephan Wilcke highlights in the annual report that the original grant was still far below the maximum of 200 per cent of salary.
Read more: LendInvest secures £42.5m funding facility with alternative investment manager
Co-founder and chief investment officer Ian Thomas also saw his total pay remain flat at £289,000.
The stagnant remuneration figures follow a tough year for the specialist mortgage lender, amid wider property market challenges. It reported a pre-tax loss of £27.3m in its latest annual results, down from a £14.3m profit the previous year.
In June, LendInvest was forced to lower its full-year profit guidance ahead of the results announcement due to an accounting discrepancy relating to the sale of its securitised loans.
The specialist mortgage lender announced on 5 January that it would earn £12.1m from the sale of its interest in Mortimer BTL 2023-1 – a securitisation of buy-to-let mortgages.
However, it later reported an issue related to swap and hedge accounting assumptions that include mark-to-market adjustments and fair value hedge accounting applied as part of the derecognition calculation.
Read more: LendInvest secures £42.5m funding facility with alternative investment manager
